In Preparing a Statement of Cash Flows, Which of the Following

question 30

Multiple Choice

In preparing a statement of cash flows, which of the following transactions would be considered an investing activity?

• A) sale of equipment at book value
• B) sale of merchandise on credit
• C) declaration of a cash dividend
• D) issuance of bonds payable at a discount

---

Definitions:

Inventory of Life Changes

A tool used to assess the amount of stress caused by changes in a person's life over a certain period of time.

Illusory Correlation

The perception of a relationship between two variables when no such relationship exists.

Transtheoretical Model

The stages we progress through during behavior change.

Theory of Planned Behavior

A psychological theory that predicts an individual's intention to engage in a behavior at a specific time and place, considering attitudes, subjective norms, and perceived behavioral control.