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
Answer (1)
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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