Proceeds from the Issuance of Stock Appear in Which, If

question 56

Multiple Choice

Proceeds from the issuance of stock appear in which, if any, section of the statement of cash flows?

• A)They do not appear in the statement of cash flows.
• B)They appear in the operating activities section.
• C)They appear in the financing activities section.
• D)They appear in the both the operating and financing activities sections.

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Definitions:

Current Liability

A company's debts or obligations that are due within one year, appearing on the company's balance sheet and including short-term borrowing, accounts payable, and other liabilities.

Revenue

The total amount of money received by a company for goods sold or services provided during a certain time period.

Expense

is an outflow of cash or other valuable assets from a person or company to another entity, representing the cost of operations or services rendered.

Debit Columns

Sections in financial statements where increases in assets or expenses or decreases in liabilities, equity, or income are recorded.