Classified in the statement of cash flows


Problem:

An analysis of comparative balance sheets, the current year's income statement and the general ledger accounts of Kingley Corp. uncovered the following items. Assume all items involve cash unless there is information to the contrary:

A. Conversion of bonds into common stock

B. Receipt of interest on notes receivable,

C. Issuance of capital stock

D. Amortization of patent

E. Issuance of bonds for land

Instructions:

Indicate how each item should be classified in the statement of cash flows using these four major classifications: operating activity (indirect method), investing activity, financing activity, and significant noncash investing and financing activity.

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Accounting Basics: Classified in the statement of cash flows
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