Question

Give two items of cash inflow from financing activities.

Answer 1

Items that may be included in the financing activities line item are:

■Sale of stock (positive cash flow)

■Repurchase of company stock (negative cash flow)

■Issuance of debt, such as bonds (positive cash flow)

■Repayment of debt (negative cash flow)

■Payment of dividends (negative cash flow)


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Answer 2

Items that may be included in the financing activities line item are:

■Sale of stock (positive cash flow)

■Repurchase of company stock (negative cash flow)

■Issuance of debt, such as bonds (positive cash flow)

■Repayment of debt (negative cash flow)

■Payment of dividends (negative cash flow)


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