CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

Which of the following is not included in computing cash flow from operating activities?
A. Payments to lenders for interest
B. Dividends received
C. Dividends paid
Explanation: Dividends paid are included in financing activities because dividends paid provide a return to owners on their investment.

User Contributed Comments 5

User Comment
anand8486 Hi, Can someone help me on option A regard to this question? Thanks
merc10112 Under USGAAP:

A) Interest paid =CFO

B) Dividend received = CFO

C) Dividend paid = CFF

Frontier17 under IFRS dividend paid could be CFO as well as CFF.
timkalt Assume GAAP if not stated differently...
ocionesw In such case, that the question is not referring to a particular standards, should we always assume that it is based on US GAAP?
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