Advanced Placement (AP)

All of the following are true regarding the statement of cash flows except: Operating activities include transactions and events that affect net income.

Financing activities include transactions that affect long-term liabilities and equity.

Investing activities include transactions that affect issuance of common stock.

Investing activities include transactions and events that come from the purchase and sale of long-term assets.

Noncash activities are investing and financing activities that do not affect cash flows.

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