Question
Strawbale, Inc. purchases a $600,000 building, paying $400,000 in cash and signing a $200,000 promissory note. What will be reported on the statement of cash
Strawbale, Inc. purchases a $600,000 building, paying $400,000 in cash and signing a $200,000 promissory note. What will be reported on the statement of cash flows as a result of this transaction?
Multiple Choice
A $600,000 cash outflow from investing activities
A $400,000 cash outflow from investing activities and a $200,000 cash inflow from financing activities
A $400,000 cash outflow from investing activities and a $200,000 noncash transaction
A $600,000 cash outflow from investing activities and a $200,000 cash inflow from financing activities
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Cost Determination A Conceptual Approach
Authors: Joel S. Demski
1st Edition
0813803608, 978-0813803609
