An Example of a Transaction That Must Be Disclosed as a Noncash

question 8

Multiple Choice

An example of a transaction that must be disclosed as a noncash investing and financing activity includes all but which of the following?

• A)The retirement of debt by issuing equity stock.
• B)A transaction exchanging cash equivalents for cash.
• C)The leasing of assets in a transaction that qualifies as a capital lease.
• D)The purchase of noncash assets in exchange for equity or debt securities.
• E)The purchase of long-term assets financed by a cash down payment and a note payable to the seller for the balance.

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Definitions:

Physeter macrocephalus

The scientific name for the sperm whale, a large marine mammal known for its deep diving capability and large brain.

Tiktaalik

An extinct genus of fish-like tetrapods that provides insight into the evolutionary transition from water to land animals.

Synapomorphy

A characteristic or feature that is shared by two or more taxa and is presumed to have been present in their most recent common ancestor, used in establishing evolutionary relationships.

Phylogeny

The study of the evolutionary history and relationships among individuals or groups of organisms.