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OlgaM077 [116]
3 years ago
5

Paying taxes to governmental bodies is considered a cash outflow in the operating activities section on the statement of cash fl

ows.
True or False?
Business
1 answer:
ikadub [295]3 years ago
7 0

Answer:

true

Explanation:

tax is a compulsory financial charge imposed upon on a tax payer by the government. In preparation of a company profit or loss account and other comprehensive statement , it is mandatory that the company is expected to deduct the approved tax rate after arriving at its operating profit. paying of taxes is a cash outflow in the operating activities of a cash flow statement because it is paid within one year and paid from the operating activities of the company.

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