Which of the following is NOT a cash outflow from an operating activity?
A) Payment of interest on a loan
B) Payment for purchasing inventory
C) Payment of dividends
D) Payments to the government for taxes

Question

Quizplus · Accepted Answer

Payment of dividends is considered a financing activity, not an operating activity. Operating activities involve the primary operations of the company such as purchasing inventory, paying salaries, and paying taxes.

Which of the Following Is NOT a Cash Outflow from an Operating