Monday, December 26, 2011

Where does the interest paid on bank loans get reported on the statement of cash flows.

The interest paid on bank loans is included in the operating
activities section of the statement of cash flows. This is the case
for both short-term and long-term bank loans. However, the
principal amounts that were borrowed and the amounts that were
repaid are reported separately under financing activities. Under
the indirect method, the interest

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