Cash paid for which of the following activities would affect

Cash paid for which of the following activities would affect the amount reported for operating cash flows in the statement of cash flows? O Paying electricity bill for the month. O Paying dividends. O Borrowing cash from a bank to acquire a factory. 0 Issuing common stock.

Solution

Answer: Option \"A\" is correct that says, \"Paying electricity bill for the month\" will affect the amount reported for operating cash flow in the statement of cash flow.

Cash outflow from operating activities- This is the first part of Cash flow statement. This activity includes money spent on day to day operations of the business. This includes short term expenses.

Examples: