Which of the following represents the correct sequence of the three business activities on the Statement of Cash Flows?
A)Financing - Operating - Investing
B)Investing - Operating - Financing
C)Operating - Investing - Financing
D)Financing - Investing - Operating

Question

Quizplus · Accepted Answer

The correct sequence of the three business activities on the Statement of Cash Flows starts with Operating activities (such as transactions related to day-to-day operations), followed by Investing activities (such as purchase or sale of long-term assets), and finally, Financing activities (such as funds raised or paid back to investors or creditors). Therefore, option C, Operating-Investing-Financing, represents the correct sequence.

Which of the Following Represents the Correct Sequence of the Three