Cash outflows from financing activities include the payment

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Reference no: EM13596088

1) Cash flows from financing activities, as part of the statement of cash flows, include payments for dividends.
a. true
b. false

2) When long-term investments in bonds are sold before their maturity date, the seller deducts any accrued interest since the last interest payment date from the selling price.
a. true
b. false

3) A major disadvantage of the indirect method of reporting cash flows from operating activities is that the difference between the net amount of cash flows from operating activities and net income is emphasized.
a. true
b. false

4) Cash outflows from financing activities include the payment of cash dividends, the acquisition of treasury stock, and the repayment of amounts borrowed.
a. true
b. false

5) The acquisition of land in exchange for common stock is an example of noncash investing and financing activity.
a. true
b. false

Reference no: EM13596088

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