The principal revenue- producing activities of the entity and other activities that are not investing or financing activities are referred to as:
A)investing activities
B)financing activities
C)equity activities
D)operating activities

Question

Quizplus · Accepted Answer

Operating activities are the principal revenue- producing activities of the entity, such as sales of goods or services, and other activities directly related to them, such as purchasing inventory or paying suppliers. Investing activities involve the acquisition or sale of long-term assets, while financing activities involve obtaining or repaying financing, such as issuing bonds or paying dividends. Equity activities are a subset of financing activities, involving transactions with shareholders, such as issuing shares or repurchasing them.

The Principal Revenue- Producing Activities of the Entity and Other