Sale of copyrights are considered as a part of..........
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Investing activities
A copyright is an intangible fixed asset. Cash received from disposing of a fixed asset, including an intangible one, is a cash inflow from investing activities.
Why the other options are incorrect
Option (2) Financing activities — Incorrect. Financing activities change the owners’ capital and borrowings; selling an asset does neither.
Option (3) Operating activities — Incorrect. Operating activities are the main revenue-earning activities, such as selling goods; a copyright held as an asset is not stock-in-trade.
Option (4) Financing & operating activities — Incorrect. The sale is one investing inflow; it is not split between these two activities.
NCERT (2026-27 edition):
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