Identify which of the following items are presented in the Operating, Investing or
Financing section of the Statement of Cash flows - or whether the item is not part of
any of these sections. Match the items accordingly. Assume the indirect method for
the calculation of the cash flows operating activities.
Note: There might be more than one match for each section category and you might
not need all section categories.
New shares worth $1
million were issued during
the business year.
Rent Expense account
balance increased by
$43,000 during the
business year.
Repayment of outstanding
bank loan worth $1.2
million.
Issuing a bond in direct
exchange for an equipment
purchase of $2.43 million
during the business year.
Increase in Accounts
Payable of $0.93 million
during the business year.
1. Operating activities
2. Investing activities
3. Financing activities
4. Neither part of operating, investing,
nor financing activities.
