In the Investing Activities Section of the Statement of Cash

question 31

True/False

In the investing activities section of the statement of cash flows, all the cash outflows for purchase of non-current assets should be totalled and reported as one number.

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Definitions:

Unamortized

Describes a portion of a loan or bond or other asset that has not yet been written off or paid down through periodic payments.

Patents

Legal rights granted to inventors, allowing them exclusive use and exploitation of their inventions for a certain period.

Unrealized Intercompany Profits

Profits arising from transactions between entities within the same group that have not yet been realized by selling the goods or services to an external party.

Cumulative Dividends

Dividends on preferred shares that accumulate and must be paid out before any dividends can be distributed to common shareholders.