Which an example of a cash flow related to a liability

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Reference no: EM132826437

Problem 1: Deferred income taxes is a balance sheet item for Iowa Products Company. How would it most likely be classified on the balance sheet?

a. Contra liability
b. Owners' equity
c. Liability
d. Expense

Problem 2: An example of a cash flow related to a liability that would not appear in the Financing Activities category of the statement of cash flows is

a. a lease obligation.
b. mortgage payable.
c. deferred income taxes.
d. bonds payable.

Reference no: EM132826437

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