Operating activities on a statement of cash flows are generally associated with:
A) movements in non-current liabilities of an entity.
B) revenues and expenses of an entity.
C) acquisitions of non-current assets of an entity.
D) changes in equity of an entity.

Question

Quizplus · Accepted Answer

Operating activities on a statement of cash flows are associated with the day-to-day revenues and expenses of an entity. Non-current liabilities and acquisitions of non-current assets are typically associated with investing and financing activities on a statement of cash flows, respectively. Changes in equity may be associated with financing activities, but not necessarily operating activities.

Operating Activities on a Statement of Cash Flows Are Generally