The Purchase of Additional Shares from the Non-Controlling Interest of a Subsidiary

question 19

Multiple Choice

The purchase of additional shares from the non-controlling interest of a subsidiary by the parent results in disclosure in which section of a cash flow statement?

• A)​operating activities
• B)​financing activities
• C)​investing activities
• D)​not reflected on the statement of cash flows

---

Definitions:

Bond Sale

The issuance of debt securities by an entity to raise funds from investors, promising to pay back with interest.

Fair Value Method

An accounting approach where assets and liabilities are valued at their current market price to determine their worth.

Brokerage Fee

A fee charged by a broker for executing transactions or providing specialized services.

Dividend Per Share

The total amount of dividends declared by a corporation for each outstanding share of common stock, reflecting the earnings distributed to shareholders.