What are Investing activities in cash flow in accounting?
This statement tells about how much is generated from investment related activities of a firm. Investments
may be long term or short term. Investments includes assets, securities etc.
Examples of investing activities are as follows −
- Purchase of investments.
- Proceeds from the sale of investments.
- Purchase of fixed assets.
- Proceeds from the sale of fixed asset.
Investing activities does not includes −
- Interest payments or dividends.
- Debt, equity.
- Deprecation of capital assets.
- All.
| Investing activities |
|---|
| Positive cash flow | Negative cash flow |
|---|
| Sales of fixed assets | Purchase of fixed assets |
| Sale of investment instruments
(stocks and bonds) | Purchase of investment instruments
(stock and bonds) |
| Collection of loans | Lending of loans |
| Insurance settlements |
|
Published on 13-Aug-2020 14:19:24
