In a statement of cash flows, issuing bonds payable affects the:

A) operating activities section.
B) financing activities section.
C) investing activities section.
D) free cash flow activities section.

Learning Objectives

• Familiarize yourself with the components and their classifications in the statement of cash flows.
• Precisely recognize and organize operating, financial, and investment activities.
• Examine how transactions involving debt and equity influence the financing activities part of the statement of cash flows.