Equipment is acquired by issuing a note payable for $56,000 and a making a down payment of $28,000. The statement of cash flows will report a: A. $84,000 outflow in the investing activities section. B. $28,000 outflow in the operating activities section. C. $56,000 inflow in the financing activities section. D. $28,000 outflow in the investing activities section.
Equipment is acquired by issuing a note payable for $56,000 and a making a down payment of $28,000. The statement of cash flows will report a: A. $84,000 outflow in the investing activities section. B. $28,000 outflow in the operating activities section. C. $56,000 inflow in the financing activities section. D. $28,000 outflow in the investing activities section.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Equipment is acquired by issuing a note payable for $56,000 and a making a down payment of $28,000. The statement of cash flows will report a:
$84,000 outflow in the investing activities section.
$28,000 outflow in the operating activities section.
$56,000 inflow in the financing activities section.
$28,000 outflow in the investing activities section.
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