ACCA FA · Chapter 12 · Question 8 of 10
Which of the following would NOT appear in a statement of cash flows?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) A bonus issue of shares
Explanation
A bonus issue is a transfer between reserves and share capital and involves no cash, so it does not appear in the statement of cash flows. Purchase of equipment (investing), loan repayment (financing) and dividends received (investing or operating) are all cash flows.
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