Statement of Cash Flow Classifications

Statement of Cash Flow Classifications

• Cash received from customers for goods or services is categorized as an operating activity inflow.
• Purchasing investment securities (stocks and bonds), excluding cash equivalents or trading securities, is classified under investing activities outflow.
• Borrowing cash through mortgages qualifies as a financing activity inflow.
• Cash obtained from interest and dividends on investments falls under operating activity inflow.
• Payments made on long-term debt are recorded as financing activity outflow.
• Cash disbursements for inventory purchases are designated as operating activity outflow.
• Salary and wage payments are also classified as operating activity outflows.
• Acquiring long-lived assets necessary for business operations results in an investing activity outflow.
• Cash paid for operating expenses is recognized as operating activity outflow.
• Collecting non-trade receivables, excluding interest, is categorized as an investing activity inflow.
• When inventory is purchased, it is classified as an operating activity inflow.
• Payments for interest on debt are recorded as operating activity outflow.
• Interest on notes payable is also considered an operating activity outflow.
• General and administrative expenses paid are classified under operating activity outflow.
• Selling long-lived assets used in the business is categorized as an investing activity inflow.
• Cash payments made for income taxes fall under operating activity outflow.
• Received dividends are classified as operating activity inflow.
• Selling machinery is recognized as an investing activity inflow.
• Dividends paid to shareholders are categorized as financing activity outflow.
• Cash received from selling land is also classified as an investing activity inflow.
• Interest received is an operating activity inflow.
• Selling investment securities other than cash equivalents or trading securities is categorized under investing activity inflow.
• Repaying creditors amounts due, excluding trade payables, is recognized as financing activity outflow.
• Cash payments for interest are considered operating activity outflow.
• Payment on notes payable is classified as financing activity outflow.
• Payments to owners in dividends fall under financing activity outflow.
• Borrowing cash via loans is classified as financing activity inflow.
• Under IFRS, dividends paid are classified as operating activity outflow.
• Dividends received under IFRS are recognized as investing activity inflow.
• Interest paid under IFRS is categorized as financing activity outflow.
• Interest received under IFRS is classified as investing activity inflow.
• Loans made to other entities are recognized as investing activities outflow.
• Cash received from owners through shares sold is categorized as financing activity inflow.
• Borrowing cash via notes is classified as financing activity inflow.
• Collection from note receivables is recognized as an investing activity inflow.
• Cash borrowed through bonds is classified as financing activity inflow.
• Cash payments to owners for reacquiring previously sold shares are categorized as financing activity outflow.
• Selling common stock is recognized as financing activity inflow.
• Paying cash dividends is classified as financing activity outflow.
• Purchasing property, plant, and equipment is categorized as investing activity outflow.
• Collections from customers are classified as operating activity inflow.
• Payment of interest on notes payable is recognized as operating activity outflow.
• Issuance of common stock is categorized as financing activity inflow.
• Collecting interest on notes receivable is classified as operating activity inflow.
• Paying the principal on notes payable is recognized as financing activity outflow.
• Issuing bonds payable in exchange for land and buildings is categorized as a non-cash investing activity.