How Would the Issuance of Stock for Cash Be Classified

question 74

Multiple Choice

How would the issuance of stock for cash be classified on the Statement of Cash Flows?

• A)As an investing activity
• B)As a financing activity
• C)As an operating activity
• D)As a current asset on the balance sheet

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Definitions:

Sanitization Process

A series of actions conducted to maintain or restore cleanliness and hygiene through the elimination of pathogens and contaminants.

Corrosive

A substance or chemical that can destroy or irreversibly damage another substance by contact.

Toxic

Harmful, poisonous, or potentially dangerous to organisms, often resulting from chemicals, substances, or environmental factors.

Killing Power

The effectiveness or capability of a substance or action to cause death.