Lease Payments Classification in Financial Statements: Understanding the Principal Portion of Lease Liability

lease liability finance activities cash payments principal portion statement of cash flows lessee accounting standards leases

In the _________, a lessee classifies cash payments for the principal portion of the lease liability within finance activities. What is the missing term? Statement of cash flows Statement of shareholders’ equity Statement of profit and loss Statement of financial position

In the Statement of cash flows, a lessee classifies cash payments for the principal portion of the lease liability within financing activities.

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