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easyMCQCUET Accountancy 16 July Shift 22026CUET Accountancy
1 mark

Which of the following is an inflow of cash in financing activities?

  1. A
    Issue of Bonus shares
  2. B
    Shares issued for consideration other than cash
  3. C
    Issue of shares to promoters
  4. D
    Issue of shares to public

Solution & Step-by-step Explanation

* Issue of Bonus shares, shares for consideration other than cash, and promotional equity allocations do not involve actual cash receipts or cash inflows for the firm (they are non-cash transaction equity adjustments).Issue of shares to the public results in actual cash receipts from investors, representing a clear cash inflow under financing activities.

Practice this question

Try it yourself before checking the explanation above.

Which of the following is an inflow of cash in financing activities?
A
Issue of Bonus shares
B
Shares issued for consideration other than cash
C
Issue of shares to promoters
D
Issue of shares to public

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