Goodwill is an intangible non-current asset. Any purchase or sale of non-current assets (tangible or intangible) is classified under investing activities. Therefore, purchase of goodwill results in a cash outflow shown under investing activities in the Cash Flow Statement.
Purchase of goodwill is considered in activity while making Cash Flow Statement.
CUET UG 2022 — Accountancy Financial Statements
2022mcqeasy
Purchase of goodwill is considered in _______ activity while making Cash Flow Statement.
Official previous-year question
Held on 15 Jul 2022 · Verified 13 Jul 2026.
Options
- A
Operating
- B
Investing
- C
Financing
- D
Operating, Investing and Financing
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