Economics · Financial Statements
Consider the following statements regarding the Cash Flow Statement: 1. Cash flow from operating activities represents cash generated from the principal revenue-generating activities of the enterprise. 2. Cash flow from investing activities includes acquisition and disposal of long-term assets. 3. Cash flow from financing activities includes changes in equity share capital and long-term borrowings. 4. Depreciation is treated as a cash outflow in the cash flow statement. Which of the statements given above are correct?
- 11, 2 and 3 only✓
- 21 and 4 only
- 32, 3 and 4 only
- 41, 2, 3 and 4
Correct answer
1, 2 and 3 only
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