If an Entity Acquires a Capital Asset and Pays for It

question 11

True/False

If an entity acquires a capital asset and pays for it in full with the issuance of long-term debt, a use of cash will be reported under investing activities and a source of cash of the same amount will be reported under financing activities.

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Definitions:

Snoring

A loud breathing sound occurring during sleep when the flow of air through the mouth and nose is physically obstructed.

Somnambulism

More commonly known as sleepwalking, it involves walking or performing other complex behaviors while in a state of deep sleep.

Narcolepsy

A neurological disorder characterized by uncontrollable episodes of deep sleep.

Insomnia

A widespread sleeping condition marked by troubles in initiating sleep, maintaining sleep, or achieving refreshing sleep.