Use This Information to Answer the Following Question

question 22

Multiple Choice

Use this information to answer the following question. Northbrook Corporation is preparing a statement of cash flows.The following transactions occurred during the year:
1) Sold machinery for $9,000 cash.
2) Purchased a building for $80,000 cash.
3) Issued $70,000 worth of stock to acquire an airplane.
4) Converted long-term bonds by issuing $100,000 worth of stock.
5) Declared and paid a $10,000 cash dividend.
-Transaction 2 would be found on the statement of cash flows in the

• A)cash flows from operating activities section.
• B)cash flows from financing activities section.
• C)cash flows from investing activities section.
• D)noncash investing and financing transactions section.

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Definitions:

Audit Trail Report

A record that traces the detailed transactions relating to any operational, financial, or business activity within an organization.

Reports Center

A feature in accounting software that centralizes access to various financial reports and summaries for analysis and review.

Excel Autofilter

A feature in Microsoft Excel that allows users to automatically filter data based on specific criteria, making it easier to sort, find, and organize information.

Further Analysis

Additional examination or evaluation required to gain a deeper understanding of a situation or data.