The appropriate statement of cash flow activity category for the payment of wages is
A)Operating
B)Financing
C)Investing
D)Schedule of noncash investing or financing activity
E)Not reported on the statement of cash flows

Question

Quizplus · Accepted Answer

The payment of wages falls under operating activities as it is part of the day-to-day operations of the business. Operating activities involve cash inflows and outflows that are directly related to the primary business activities.

The Appropriate Statement of Cash Flow Activity Category for the Payment