The Purchase of Equipment for the Manufacturing of Inventory Belongs

question 29

True/False

The purchase of equipment for the manufacturing of inventory belongs in the operating activities section of the statement of cash flows.

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Definitions:

Micro-

A prefix meaning small or minute, often used in scientific terms to denote a factor of one millionth.

Small

Of a size that is less than normal or usual; the term is relative and can be used in various contexts to denote physical size.

Auto-

A prefix meaning self or same, used in terms that denote self-action, such as autoimmunity.

Self

The total, essential, or particular being of a person; the individual.