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Purchase and Sales of Shares by a manufacturing company comes under ______
  • a)
    Investing activities
  • b)
    Operating Activities
  • c)
    Not recorded
  • d)
    Financing Activities
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
Purchase and Sales of Shares by a manufacturing company comes under __...
Purchase and Sales of Shares by a manufacturing company comes under Investing activities.
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Most Upvoted Answer
Purchase and Sales of Shares by a manufacturing company comes under __...
Investing Activities

Investing activities are the activities that involve purchase and sale of long-term assets or investments by a company. These activities are reported in the cash flow statement of a company.

In the given scenario, the purchase and sale of shares by a manufacturing company is an investment activity as shares are considered as long-term assets. Therefore, the correct answer is option A - Investing Activities.

It is important for a company to maintain a proper record of its investing activities as it helps in analyzing the company's investment decisions and its impact on the cash flow of the company.
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Community Answer
Purchase and Sales of Shares by a manufacturing company comes under __...
It's investing activity becz the manufacturing company will invest their amount in purchasing the shares of some other company or anywhere..and then encash the shares by selling it...
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