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Question : ------------------is an example of the activity which remains financing activity for every enterprise.

Option 1: Issue of Shares

Option 2: Payment of Dividend on Shares.

Option 3: Both 1 and 2

Option 4: None of the above


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: Both 1 and 2


Solution : Answer = Both 1 and 2

Both issuing shares and paying dividends on shares involve transactions related to the company's capital structure and shareholders' equity, making them financing activities. These activities affect the company's financial position and are thus categorized as financing activities in the cash flow statement.
Hence, the correct option is 3.

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