On a Statement of Cash Flows, the Receipt of Interest

question 36

Multiple Choice

On a statement of cash flows, the receipt of interest on a note is classified as an) :

• A)operating activity.
• B)financing activity.
• C)investing activity.
• D)Interest receipts are not reported on a statement of cash flows.

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Definitions:

Electronegativity

A measure of an atom's ability to attract and hold electrons within a chemical bond.

Cations

Positively charged atoms.

Electrons

Subatomic particles with a negative charge, orbiting the nucleus of an atom and involved in chemical bonding and electricity.

Positive Charge

A type of electric charge, typically carried by protons, that repels other positively charged particles and attracts negatively charged particles.