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Question :

Which of the following is not an Investing Cash Flow?

Option 1: Purchase of marketable securities for Rs.25,000 cash

Option 2: Sales of land for Rs.28,000 cash

Option 3: Sale of 2,500 shares (held as an investment) for Rs.15 each

Option 4: Purchase of equipment for Rs.500 cash


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: Purchase of marketable securities for Rs.25,000 cash


Solution : Purchase of marketable securities is considered as cash and cash equivalents and so does not form the part of investing cash flow.

Hence the correct answer is option 1.

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