Which of the Following Is Correct

question 24

Multiple Choice

Which of the following is correct?

• A)Repayments of principal and interest reduce financing activities cash flows.
• B)Purchase of common stock shares for treasury is a cash outflow connected to investing activities.
• C)If a company borrows $450 million in long-term notes and repays $380 million of long-term notes, these items must both be disclosed separately and not netted against each other in the financing section of the cash flow statement.
• D)Issuing common stock in exchange for the purchase of a building creates both a financing activity and investing activity cash flow.

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Definitions:

HR Planning

The process of identifying and addressing the human resources needs of a company to achieve its business objectives.

Strategic Change

The process of implementing significant adjustments in an organization's direction, operations, or capabilities to address major challenges or opportunities.

Line Managers

Individuals directly responsible for overseeing the production of goods and services and managing the staff.

Succession Planning

The process of identifying and developing new leaders who can replace old leaders when they leave, retire, or pass away.