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CASH FLOW

SSHAWN5y ago
(v) Interest on cash deposits at the bank amounted to $75. will this fall under operating or investing activity?
John MoffatJohn MoffatTutor5y ago#1
The accounting standard allows it to be shown under either heading provided the same treatment is used from year to year. Given that investing activities are referring to long-term investments, a small amount of interest like this is more likely to be shown under operating activities.
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