Which of the Following Should Be Shown on a Statement

question 153

Multiple Choice

Which of the following should be shown on a statement of cash flows under the financing activities section?

• A) the purchase of a long-term investment in the common stock of another company
• B) the payment of cash to retire a long-term note
• C) the proceeds from the sale of a building
• D) the issuance of a long-term note to acquire land

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Definitions:

Social Agenda

A set of priorities or objectives set by an organization or government, focusing on social issues such as welfare, health, and social justice.

Short-Term Profits

Earnings achieved within a brief period, typically within a year, that often reflect the immediate financial health of a business.

Shareholder Model

a corporate governance model that prioritizes the interests of shareholders in the decision-making process, often focusing on maximizing shareholder value.

Corporate Governance

The framework of rules, practices, and processes by which a company is directed and controlled, often focusing on the interests of shareholders, management, customers, suppliers, financiers, government, and the community.