Which of the following is NOT an example of an operating cash flow?
A)Management fees and distributed overhead.
B)Royalties and license fees.
C)Rent and lease payments.
D)Dividend paid to parent company.

Question

Quizplus · Accepted Answer

Dividend paid to the parent company is a financing cash flow activity, not an operating cash flow. Operating cash flows are related to the core business activities of the company, such as revenue from sales, payments to suppliers, salaries and wages, and taxes.

Which of the Following Is NOT an Example of an Operating