3. which transaction do not affect cash of cash equivalent.
Answers
Answered by
1
Answer:
Investing activities are the acquisition and disposal of long-term assets and other investments not included in cash equivalents. Financing activities are activities that result in changes in the size and composition of the contributed equity and borrowings of the entity.
Answered by
2
Buying an asset is a transaction that does not affect cash equivalent.
Explanation:
- Cash transactions like an investment of money and withdrawal will affect the cash equivalent process.
- While the non-cash transactions like buying of disposal of a long term asset do not affect the cash.
- These transactions are carried out on a finance basis rather than depending upon the cash flows.
- The cash exchange never happens when an asset is disposed of by a businessman.
To know more:
1) What is cash transaction
https://brainly.in/question/1508758.
2) What is the difference between a cash transaction and a credit transaction?
https://brainly.in/question/6756088
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