Question

hello friends that this investment short term should come or not in investing activities in cash flow statement

Answer 1

In the year 2001 .. Investments are nil

In the year 2002.. Investments stood at 100000

which means investments were bought during 2002 or They took up investing activities.

This entails a cash outflow of 100000..

So it should be recorded under investing activities as

Purchase of investments = (100000)

If the company is an investing company then it should be recorded under operating activities segment of the cashflow Statement

But the company here seems to be a non-investing company ... So it should be treated as an investing activity..