Cash flows from operating activities would include the payment of cash dividends.

Name: Cash flows from operating activities would include the payment of cash dividends.
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Question

Quizplus · Accepted Answer

Cash flows from operating activities include transactions related to the primary revenue-generating activities of the entity, such as cash receipts from sales of goods and services and cash payments to suppliers and employees. Payment of cash dividends is classified under financing activities, not operating activities.

Cash Flows from Operating Activities Would Include the Payment of Cash