Which of the Following Would Not Be Found in a Schedule

question 130

Multiple Choice

Which of the following would not be found in a schedule of noncash investing and financing activities, reported at the end of a statement of cash flows?

• A) equipment acquired in exchange for a note payable
• B) bonds payable exchanged for capital stock
• C) purchase of treasury stock
• D) capital stock issued to acquire fixed assets

---

Definitions:

Government Bonds

Debt securities issued by a government to finance its expenditures, offering a fixed or variable interest rate over time.

Private Company

A business entity owned by private individuals or entities, not publicly traded on the stock market, and not subject to the same reporting requirements as a public company.

Merchantable Quality

A standard that ensures goods are of a quality that is acceptable for sale and fit for the purpose for which they are bought.

Risk of Loss

The potential that an asset might be destroyed, damaged, or lost, impacting its owner financially or legally.