My Question is: A statement of cash flows typically would not disclose the effec

Question

My Question is: A statement of cash flows typically would notdisclose the effects of a. captial stock issued at an amount greater than parvalue b. stock dividends declared c. cash dividends paid d. a purchase and immediate retirement of treasury stock My Question is: A statement of cash flows typically would notdisclose the effects of a. captial stock issued at an amount greater than parvalue b. stock dividends declared c. cash dividends paid d. a purchase and immediate retirement of treasury stock

Explanation / Answer

Cash flow statement only record those event that have cashtransferred. For above choices, (b) stock dividends declared dont need to recordin statement because no cash out from the company. It only have effect after the dividends ispaid.

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