There are two statements marked as Assertion (A) and Reason (R). Mark your answer as per the options given below.
Assertion (A): Purchase and sale of shares on behalf of customers is an operating activity in the cash flow statement.
Reason (R): They are being purchased for their customers and amount got for this is operating activity.
Answer & explanation
Correct answer: option 4
It's not an operating activity but the brokerage received is an operating activity.