Interest and dividend revenue, and interest expenses, are considered [...] activities
Answer
operating
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Subject 1. Classification of Cash Flows and Non-Cash Activities The major operating cash flows are (1) cash received from customers, (2) cash paid to suppliers and employees, (3) interest and dividends received, (4) interest paid, and (5) income taxes paid.
Special items to note:
<span>Interest and dividend revenue, and interest expenses, are considered operating activities, but dividends paid are considered financing activities. Note that interest expense is reported on the income statement while dividends flow through the retained earnings statement.
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