When a fixed asset is bought as hire purchase, interest element is classified under ___. Options: A . &nbsp Operating activities B . &nbsp Investing activities C . &nbsp Financing activities D . &nbsp None of these

When a fixed asset is bought as hire purchase, interest element is classified

Question -

When a fixed asset is bought as hire purchase, interest element is classified under ___.

Options:

A . Operating activities

B . Investing activities

C . Financing activities

D . None of these

Answer: Option C
:
C

When a fixed asset is bought as hire purchase, interest element is classified under financing activities.

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