Classify Each of the Following as A(n)

question 11

Essay

Classify each of the following as a(n):
A. Operating Activity
B. Investing Activity
C. Financing Activity
_____ 1 Issuance of bonds.
_____ 2. Sale of equipment.
_____ 3. Amortization expense.
_____ 4. Purchase of treasury stock.
_____ 5. Receipt of dividends on investment.
_____ 6. Purchase of land.

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Definitions:

Capital Account

A national account that shows the net change in asset ownership for a nation, including assets in foreign investments and movements of capital.

Trade Deficit

A situation where a country's imports exceed its exports in value.

Debts Owed

Financial obligations or liabilities that a person or entity is required to repay to creditors.

Capital Account

A national account that records transactions involving the acquisition and disposal of assets, such as direct investments, portfolio investments, and financial derivatives between residents and non-residents.