Cash Flows from Financing Activities Include

question 62

Multiple Choice

Cash flows from financing activities include:

• A)proceeds received from sale of equipment.
• B)proceeds received from sale of the company's shares.
• C)purchase of land.
• D)proceeds from the sale of shares of another company.

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Definitions:

Depreciation

The approach in accounting where the expense of a tangible or physical asset is spread across its lifespan.

Payroll Expense

The total amount of money a company pays to its employees as salaries and wages, including taxes and other deductions.

Depreciation Expense

The distribution of a physical asset's cost across its lifespan, mirroring its depreciation over time.

Tax Rate

The proportion of income or the value of a transaction that is collected by the government as tax, expressed as a percentage.