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How are acquisitions and disposals of subsidiaries and other business units classified in a cash flow statement?
  • a)
    As cash flows from operating activities.
  • b)
    As cash flows from investing activities.
  • c)
    As cash flows from financing activities.
  • d)
    They are excluded from the cash flow statement.
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
How are acquisitions and disposals of subsidiaries and other business ...
The aggregate cash flows arising from acquisitions and disposals of subsidiaries or other business units are classified as investing activities in a cash flow statement. These transactions involve the acquisition or disposal of long-term assets and other investments. They are not directly related to the principal revenue-producing activities or changes in the size and composition of the owners' capital.
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How are acquisitions and disposals of subsidiaries and other business units classified in a cash flow statement?a)As cash flows from operating activities.b)As cash flows from investing activities.c)As cash flows from financing activities.d)They are excluded from the cash flow statement.Correct answer is option 'B'. Can you explain this answer?
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How are acquisitions and disposals of subsidiaries and other business units classified in a cash flow statement?a)As cash flows from operating activities.b)As cash flows from investing activities.c)As cash flows from financing activities.d)They are excluded from the cash flow statement.Correct answer is option 'B'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about How are acquisitions and disposals of subsidiaries and other business units classified in a cash flow statement?a)As cash flows from operating activities.b)As cash flows from investing activities.c)As cash flows from financing activities.d)They are excluded from the cash flow statement.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for How are acquisitions and disposals of subsidiaries and other business units classified in a cash flow statement?a)As cash flows from operating activities.b)As cash flows from investing activities.c)As cash flows from financing activities.d)They are excluded from the cash flow statement.Correct answer is option 'B'. Can you explain this answer?.
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