Which of the Following Would Be Classified as a Financing

question 169

Multiple Choice

Which of the following would be classified as a financing activity on the statement of cash flows?

• A)Cash receipts from accounts receivable collections.
• B)Cash receipts from sale of equipment.
• C)Cash paid to purchase treasury stock.
• D)Cash paid for interest on notes payable.

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Definitions:

Internal Validity

The extent to which a study provides evidence that a causal relationship exists between the variables it examines, free from confounding factors.

Random Assignment

Use of a random "chance" procedure (such as a random number generator or coin toss) to determine the condition in which an individual will participate.

Confounding Variable

A factor other than the independent variable that might produce an effect in an experiment, leading to inaccurate results if not controlled.

Independent Variable

The variable that is changed or controlled in a scientific experiment to test the effects on the dependent variable.