Cash flows from investing activities include each of the following except:

A) Payments to purchase plant assets.
B) Proceeds from collecting accounts receivable that arise from customer sales.
C) Payments to buy intangible assets.
D) Payments to acquire long-term investments.
E) Proceeds from the sale of equipment.

Question

Sarad Shaine · Accepted Answer

Final Answer : B, Explanation :  Cash flows from investing activities refer to cash inflows and outflows related to the acquisition or disposal of long-term assets, such as property, plant and equipment, intangible assets, and long-term investments. Proceeds from collecting accounts receivable would be classified as cash flows from operating activities.

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