Chapter 17, Problem 16Q

To determine

Cash Flow Statement:

Cash Flow Statement is a fundamental financial statement that renders valuable information regarding the cash inflows or the cash receipts of a business and the cash outflows or cash payments for a specific period of time. The cash flow statement also provides information regarding the net cash change that occurred during a period, classifying the activities into three categories those are cash from operating activities, investing, and financing activities.

Non-cash:

Non-cash transactions can be defined as those transactions that do not involve cash. In such a transaction, neither cash inflows nor cash outflows occur. Moreover, it can also be referred to as a transaction that does not affect the inflow or outflow of cash.

To indicate: The method by which D Company can report its transaction on a statement of cash flows.