If a Company Borrows Money from a Bank, the Interest

question 14

Multiple Choice

If a company borrows money from a bank, the interest paid on this loan should be reported on the statement of cash flows as a(n) :

• A) Operating activity.
• B) Financing activity.
• C) Investing activity.
• D) This is not reported in the statement of cash flows.
• E) Noncash investing and financing activity.

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Definitions:

Organizational Politics

Activities carried out within an organization to acquire, develop, and use power and other resources to obtain one's preferred outcomes in a situation where there is uncertainty or disagreement.

Intentional Damaging

involves deliberate actions taken to harm or degrade an object, person, or reputation.

Self-Esteem

An individual's subjective evaluation of their own worth, encompassing beliefs about oneself as well as emotional states such as triumph, despair, pride, and shame.

Agreeableness

A personality trait characterized by warmth, kindness, and a cooperative attitude.