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Consider the following cash flow items: Pay amount owed to bank for previous borrowing. Pay utility...

Consider the following cash flow items:


Pay amount owed to bank for previous borrowing.
Pay utility costs.
Purchase equipment to be used in operations.
Purchase office supplies.
Pay one year of rent in advance.
Pay workers' salaries.
Pay for research and development costs.
Pay taxes to the IRS.
Sell common stock to investors.


How many of these cash flow items involve investing activities?

Solutions

Expert Solution

pay amount owned to bank for previous borrowing Financing activity
pay utilities cost operating activities
Purchase of equipment to be used in operations investing activities
purchase of office spplies operating activities
pay one year of rent in advance investing activities
pay workers salaries operating activities
pay for research and development cost operating activities
pay taxes to the IRS operating activities
Sell common stock to investers Financing activity

ekkarill92 answered 2 years ago
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