Q4RQ

Question

Question: What types of transactions are reported in the non-cash investing and financing activities section of the statement of cash flows?

Step-by-Step Solution

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Answer

Answer

 

The non-cash investing and financing activities record those transaction which does not involve cash

1Step 1: Non-cash investing and financing activities

Non-cash investing and financing activities is the last heading in the statement of cash flows. It records those investing and financing contra transactions that does not involve cash.

 

2Step 2: Types of transaction reported in the non-cash investing and financing activities section

The non-cash investing and financing activities section reports important and material transaction. For example building purchased by issuing land, common stock issued in exchange of land, etc.