Operating activities include activities that affect long-term liabilities and stockholders' equity.

Name: Operating activities include activities that affect long-term liabilities and stockholders' equity.
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Question

Quizplus · Accepted Answer

Operating activities are part of the cash flows related to day-to-day operations, which primarily affect current assets and liabilities. Long-term liabilities and stockholders' equity are more likely to be impacted by financing and investing activities.

Operating Activities Include Activities That Affect Long-Term Liabilities and Stockholders