Where Do Dividends Paid by a Subsidiary to the Parent

question 55

Multiple Choice

Where do dividends paid by a subsidiary to the parent company appear in a consolidated statement of cash flows?

• A) Cash flows from operating activities.
• B) Cash flows from investing activities.
• C) Cash flows from financing activities.
• D) Supplemental schedule of noncash investing and financing activities.
• E) They do not appear in the consolidated statement of cash flows.

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Definitions:

Plant Hormone

Extracellular signaling molecule of plants; exerts an effect on target cells at very low concentration. E.g., auxin, gibberellin.

Double Fertilization

Fertilization as it occurs in flowering plants; one sperm cell fuses with an egg, and a second sperm cell fuses with the endosperm mother cell.

Zygote

The cell formed by the fusion of two gametes; the earliest stage of embryonic development in sexually reproducing organisms.

Endosperm

A tissue produced inside the seeds of most flowering plants following fertilization, which acts as a food store for the developing embryo.