Arrow Printers paid $2,000 interest on short-term notes payable, $10,000 interest on long-term bonds, and $6,000 in dividends on

Question

2 years ago

6

Arrow Printers paid $2,000 interest on short-term notes payable, $10,000 interest on long-term bonds, and $6,000 in dividends on

its common stock. Arrow would report cash outflows from activities, as follows:
Operating, $2,000; financing, $16,000.
Operating, $0; financing, $18,000.
Operating, $12,000; financing, $6,000.
Operating, $18,000; financing, $0.

Business

1 answer:

Furkat [3] · Answer 1 · 2022-07-26T21:06:57+03:00

Furkat [3]2 years ago

8 0

Answer: B

Explanation: Operating $0; Financing $18,000.00

This is because all the listed expenses are related to the financing arm of the business.