Use This Information to Answer the Following Question

question 67

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 1 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)noncash investing and financing transactions section.
• D)cash flows from investing activities section.

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Definitions:

Reinforcement

In psychology, a concept in operant conditioning where a behavior is strengthened or increased by following it with a positive stimulus or the removal of a negative one.

Social Learning

The theory that people learn new behaviors, attitudes, and values from observing others.

Attentional Processes

Mechanisms by which individuals selectively concentrate on certain information while ignoring other stimuli, important for cognitive functioning.

Modeling

The process of learning behaviors, attitudes, and emotional reactions through observing and imitating others, a concept emphasized in social learning theory.