Identify the Section of the Statement of Cash Flows (A-D)

question 39

Multiple Choice

Identify the section of the statement of cash flows (a-d) where each of the following items would be reported.
-Payment of dividends to stockholders

• A)Operating activities
• B)Financing activities
• C)Investing activities
• D)Schedule of noncash financing and investing

---

Definitions:

Tax Year

The 12-month period for which tax is calculated, often either the calendar year or a fiscal year established by a business.

Eligible Educational Institution

An accredited post-secondary institution that qualifies for federal student aid programs, where expenses might be eligible for tax deductions or credits.

Loan Interest Deductibility

The ability to subtract the cost of interest on certain loans from your gross income for tax purposes, potentially lowering your taxable income.

Taxable Income

The portion of an individual's or entity's income used to determine how much tax is owed to the government, after all deductions and exemptions.