Learning which items belong in each category of the


Learning which items belong in each category of the statement of cash flows is an important first step in understanding their meaning. Use a letter to mark each item in the following list as a cash flow from Operating, Investing, or Financing activities. Put parentheses around the letter if it is a cash outflow and use no parentheses if it's an inflow.

_____ 1. Cash paid to purchase land

_____ 2. Cash collected from clients

_____ 3. Cash received from selling equipment

_____ 4. Cash paid for dividends

_____ 5. Cash paid to suppliers

_____ 6. Cash received from issuing stock

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Financial Accounting: Learning which items belong in each category of the
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