Which of the following is an example of an operating activity?
A) Obtaining capital from stockholders
B) Selling goods and services to customers
C) Purchasing equipment
D) Selling land

Question

Quizplus · Accepted Answer

Selling goods and services to customers is an example of an operating activity because it involves the primary revenue-generating activities of the business. Obtaining capital from stockholders is a financing activity, purchasing equipment is an investing activity, and selling land is also an investing activity (unless the land is used in the normal course of operations, in which case it could be considered an operating activity).

Which of the Following Is an Example of an Operating