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An example of financing activities in the context of cash flow statement is:

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Question added by Muhammad Ramzan Tufail ACCA , Assistant Finance Manager , Eltizam Asset Management Group
Date Posted: 2015/06/02
Shahbaz Hayder
by Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies

Option D is the right answer.

Saptarsi Neogy
by Saptarsi Neogy , Intern , Mining Spare Products

The separate disclosure of cash flows arising from financial activities is important because it is useful in predicting claims on future cash flow by providers of funds to the enterprise. So as per the above statement the answer should be option " D " Dividend Paid.

The answer is Dividend paid.. The share capital fund generated should be reported under Financing activities...with the same terminology the dividend paid to shareholders has to be reported in financing head...whereas dividend reced from investing company has to reported under Investing activities as per IFRS.

Mohammad Iqbal Abubaker
by Mohammad Iqbal Abubaker , Jahaca Pty Ltd - Accounts Administrator , Jahaca Pty Ltd - Accounts Administrator

An example of financing activities in the context of cash flow statement is:

 

D)  Dividend paid 

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