Cash received from issuing of common or preferred stock.Įxamples of cash outflow from financing activities:.Cash received from borrowings (both short and long term).Some examples of the financing activities that affect the cash are given below: Examples of cash inflow from financing activities: Financing activities include those activities that change the size and composition of the equity ( i.e., common or preferred stock) and the long term liabilities (i.e., borrowings) of the company. Financing activities section:Ĭash flow resulting from financing activities of the company are shown under financing activities section of the statement of cash flows. Cash spent on research and development activities of the companyĬlick here to learn the preparation of investing activities section (3).
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