Which of the Following Is a Cash Outflow for a Financing

question 73

Multiple Choice

Which of the following is a cash outflow for a financing activity on the statement of cash flows?

• A) purchase of long-term investments, such as the stock of another company
• B) loans made to another party
• C) purchase of treasury stock
• D) purchase of land

---

Definitions:

Business

The organized efforts and activities of individuals to produce and sell goods and services for profit.

Consumer Goods

Items purchased for personal, family, or household use and enjoyment.

Bankruptcy Code

The set of laws in the United States that govern bankruptcy proceedings, providing for the resolution of insolvency issues.

State Courts

Courts that exist within a particular state in the United States, handling the bulk of legal disputes under state laws.