What are financing activities in a cash flow statement
What are financing activities in a cash flow statement: Cash flow from financing activities is a category in a company’s cash flow statement that accounts for external activities that allow a firm to raise capital. It is the net amount of funding a company generates in a given time period, used to finance its business.
Examples of Cash flow from financing activities are:
- Cash receipt from issue of shares.
- Payment of preliminary expenses
- Repayment of loans.
- Payment of Preliminary Expenses
- Payment of interst on borrowings.
- Proceeds from issue of debentures
- Payment of Dividend
- Payment for Buy Back of Equity Shares