Firms with significant net income always have significant cash generated from operating activities. True False If a company purchases land with its common stock, and no cash changes hands, where would this activity be presented on the statement of cash flows? A. The financing section of the statement of cash flows. B. The investing section of the statement of cash flows. C. The operating section of the statement of cash flows. D. A note below the statement of cash flows. Where would cash payments for insurance appear in the statement of cash flows? Operating activities section. B. Financing activities section. C. Investing activities section. D. Capital activities section. Which of these items would appear in the financing activities section of the statement of cash flows? Carr Company has the following cash flows to account for: Cash receipts for the sale of common stock. Cash payments for the purchases of merchandise. Cash receipts from the collection of accounts receivable. Cash receipts from the collection of principal on loans made to others. Cash payments to shareholders for dividends. Cash payments for the purchase of machinery. A.1 & 6 B.2 & 3 C.1 & 5 D.4 & 6 Significant noncash financing and investing activities are reported in: A.a note below the statement of cash flows. B. the investing activities section of the statement of cash flows. C. the financing activities section of the statement of cash flows