A software company acquired a smaller company in order to acquire the patents that it holds, where

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A software company acquired a smaller company in order to acquire the patents that it holds, where will the cost of this acquisition be recorded on the statement of cash flow?

a. As an outflow under Financial activities

b. As an outflow under operating activities

c. As an outflow under investment activities

d. The acquisition would not be recorded on the statement of cash flows.

Related Book For answer-question

Accounting Business Reporting for Decision Making

ISBN: 9780730302414

4th edition

Authors: Jacqueline Birt, Keryn Chalmers, Albie Brooks, Suzanne Byrne, Judy Oliver

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Posted Date: Jun 27, 2019 07:58 AM

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A software company acquired a smaller company in order to acquire the patents that it holds, where

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Accounting Business Reporting for Decision Making

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