Which of the following sections of the statement of cash flows include activities that create revenue and expenses of the business?
A) the investing activities section
B) the financing activities section
C) the operating activities section
D) the non-cash investing and financing section

Question

Quizplus · Accepted Answer

The operating activities section includes activities related to the creation of revenue and expenses of the business, such as cash receipts from customers, payments to suppliers, and payments to employees. The investing activities section and financing activities section generally involve transactions that do not directly relate to the revenue and expenses of the business, such as the purchase or sale of long-term assets or borrowing and repayment of debt. The non-cash investing and financing section includes transactions such as the exchange of stock for assets or the conversion of debt to equity, which do not involve the actual inflow or outflow of cash.

Which of the Following Sections of the Statement of Cash