If Thomson Company did not issue any bonds payable during the year and its bonds

Question

If Thomson Company did not issue any bonds payable during the year and its bonds payable account decreased by $200,000 over the course of a year, then this amount would be shown on the company's statement of cash flows prepared under the indirect method as: Answer a. a cash inflow of $200,000 under investing activities. b. a cash outflow of $200,000 under investing activities. c. a cash inflow of $200,000 under financing activities. d. a cash outflow of $200,000 under financing activities. If Thomson Company did not issue any bonds payable during the year and its bonds payable account decreased by $200,000 over the course of a year, then this amount would be shown on the company's statement of cash flows prepared under the indirect method as: a cash inflow of $200,000 under investing activities. a cash outflow of $200,000 under investing activities. a cash inflow of $200,000 under financing activities. a cash outflow of $200,000 under financing activities. a. a cash inflow of $200,000 under investing activities. b. a cash outflow of $200,000 under investing activities. c. a cash inflow of $200,000 under financing activities. d. a cash outflow of $200,000 under financing activities.

Explanation / Answer

a cash outflow of $200,000 under financing activities.

Financing activities involve long-term liabilities and stockholders d. a cash outflow of $200,000 under financing activities.

Financing activities involve long-term liabilities and stockholders

Related Questions

Navigate

• Browse (All)
• Browse I
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.