Identify the items NOT be shown under Investing Activities while making Cash Flow statement.(a) Proposed Dividend(b) Purchase of non-current Investments(c) Interest paid on long term borrowings(d) Sale of machinery(e) Marketable securities Choose the most appropriate answer from the options given below:
- A(a), (b), (c) only
- B(a), (c), (e) only
- C(b), (d), (e) only
- D(b), (c), (e) only
Solution & Step-by-step Explanation
(a) Proposed Dividend is related to Financing Activities.(c) Interest paid on long-term borrowings is a Financing Activity.(e) Marketable securities are treated as Cash and Cash Equivalents.Purchase of non-current investments and Sale of machinery are Investing Activities. Hence, (a), (c), and (e) are NOT shown under Investing Activities.