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28 February, 20:19

A not-for-profit voluntary health and welfare organization should report a contribution for the construction of a new building as cashflow for which of the following in the statement of cash flows?

a. capital financing activities

b. operating activities

c. financing activities

d. investing activities

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Answers (1)
  1. 28 February, 20:45
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    The correct answer is letter "C": financing activities.

    Explanation:

    Cash flow refers to transferring cash to, or from, an account, a company, or an investment. In the cash flow statement, there is a section called "Financing Activities" where all the net flow of cash to fund the entity is recorded. Those activities imply the firm's equity, debt, and dividends.
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