U.S. GAAP classifies all of the following as investing activities on the statement of cash flows except for
a. cash inflows from selling manufacturing equipment.
b. cash outflows from purchasing bonds (intended to be held to maturity) of other entities.
c. cash outflows to lender for interest.
d. cash inflows from selling a (long-term) portfolio of equity securities of other entities.
e. cash outflows from buying manufacturing equipment.
C
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Your coworker is writing a report on the increase in gas prices and the possibility of more employees working remotely from home. She asks you for advice on developing an outline of main points and subproblems.
What advice can you give her? Mix issues and overlap categories. Phrase your issues as questions or statements. Make sure your points are varied, general, and inconclusive.
Which of the following is least likely to be correct for a firm that repeatedly stretches its payables?
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