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Where we have to write the interest received in cash flows?in the investing activities? or in the operating activities? I confused to write it when I saw interest received which is written in the operating activities , in the another example it is written in the investing activities?which is true?
interest received appears under the heading ‘cash flows from investing activities’
The reason that you have seen it under operating activities is different – it is because we need to adjust the profit from the statement of profit or loss to be able to get the operating profit.
The free lecture on statements of cash flows will help you.
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