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The issuance of common stock and declaration and payment of cash dividends will result in the...


The issuance of common stock and declaration and payment of cash dividends will result in the following:

  • Increase in financing activities for the issuance and a decrease in financing activities for the dividends.

  • Increase in investing activities for the issuance and a decrease in financing activities for the dividends.

  • Increase in financing activities for the issuance and a decrease in investing activities for the dividends.

  • Decrease in financing activities for the issuance and a decrease in financing activities for the dividends.

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Answer #1

Answer- The issuance of common stock and declaration and payment of cash dividends will result in the = Increase in financing activities for the issuance and a decrease in financing activities for the dividends.

Explanation- Issuance of common stock = Increase in financing activities for the issuance of common stock in cash flow statement.

Declaration and payment of cash dividends = Decrease in financing activities for the issuance of common stock in cash flow statement.

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