Asked by Nichole Stone on Jul 25, 2024

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Cash investments by stockholders are listed on which of the following statements?

A) Statement of retained earnings and income statement.
B) Income statement only.
C) Retained earnings only.
D) Statement of retained earnings and statement of cash flows.
E) Statement of cash flows only.

Cash Investments

Financial assets such as stocks, bonds, or real estate purchased with the expectation of generating a return on investment.

Statement of Cash Flows

A financial statement detailing the impact of alterations in balance sheet accounts and income on cash and cash equivalents, segmented into operating, investing, and financing activities.

Stockholders

Individuals or entities that own one or more shares of stock in a corporation, making them owners of a portion of the company.

  • Discern the constituents that affect equity, involving investments made by shareholders, net income, and dividend disbursements.
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Mounika UppalaJul 31, 2024
Final Answer :
E
Explanation :
Cash investments by stockholders are recorded in the statement of cash flows, specifically in the financing activities section. This statement provides information about the cash inflows and outflows from operations, investing, and financing activities.