Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 5 - Balance Sheet and Statement of Cash Flows - Questions - Page 280: 25d

Answer

The increase in land is listed under cash flows from investing activities as shown below: Cash flows from investing activities: Investment in Land ...........................................................................................(20,000)

Work Step by Step

The increase of USD 20,000 (30,000-10,000) reflects an investing activity and is recognized as an investment in land.
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