Economics · Cash Flow Statement

Under Accounting Standard 3 (AS 3), interest paid on debentures by a non-financial enterprise is classified as which type of activity?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Extraordinary Activity
2Financing Activity✓
3Investing Activity
4Operating Activity

Correct answer

Financing Activity

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Under Accounting Standard 3 (AS 3), interest paid on debentures by a non-financial enterprise is classified as which type of activity?

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Under Accounting Standard 3 (AS 3), interest paid on debentures by a non-financial enterprise is classified as which type of activity?

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