A is corrent. The requirement is to identify the section of the statement of cash flows that would contain a contribution for the construction of a new building. A major difference between commercial business and not-for-profit presentation of the statement of cash flows is in not-for-profit statements—cash receipts for contributions restricted for long-term purposes are classified as financing activities.
B is incorrect because in not-for-profit statements cash receipts for contributions restricted for long-term purposes are classified as financing activities.
B is incorrect because in not-for-profit statements cash receipts for contributions restricted for long-term purposes are classified as financing activities.
D is incorrect because in not-for-profit statements cash receipts for contributions restricted for long-term purposes are classified as financing activities.
| 
