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When company buy plant through finance lease,then i saw sometimes it is counted to calculate new purchase and sonetimes donot calculate in Cashflow.Can u clarify it to me ???????????? in details!!!!!!!!
I think you are asking where payments for a new asset acquired under finance lease appear in the cash flow statement. Am I correct?
If so, it does not appear in “Investing activities”.
Cash paid to finance lease creditors appears as an outflow in “financing activities”
Does that answer your question?
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