How should Indirect borrowing activity (using accounts payable) be classified?
Answer
Operating activity.
If you want to change selection, open document below and click on "Move attachment"
Subject 1. Classification of Cash Flows and Non-Cash Activities vidends do not appear on the income statement, and thus are not classified as operating activities.
All income taxes are considered operating activities, even if some arise from financing or investing.
<span>Indirect borrowing using accounts payable is not considered a financing activity - such borrowing would be classified as an operating activity.
Investing Activities
These include making and collecting loans and acquiring and disposing of investments (both debt and equity) and property,
Summary
status
not learned
measured difficulty
37% [default]
last interval [days]
repetition number in this series
0
memorised on
scheduled repetition
scheduled repetition interval
last repetition or drill
Details
No repetitions
Discussion
Do you want to join discussion? Click here to log in or create user.