New Click here to Enroll in NaBFID Analyst Intro Class on May 6

    Question

    Which among the following will not lead to generation of

    cash flows in financing activities?
    A Raising debt through debentures Correct Answer Incorrect Answer
    B Taking a long-term bank loan Correct Answer Incorrect Answer
    C Issuing right shares Correct Answer Incorrect Answer
    D Issuing Zero Coupon Bonds Correct Answer Incorrect Answer
    E Issuing Bonus Shares Correct Answer Incorrect Answer

    Solution

    In case of bonus issue, there are no cash inflows. The profits are transferred to Capital A/c. 

    Practice Next