Asked by
David Lytle
on Oct 09, 2024Verified
Which of the following items would not be classified as an operating activity on the statement of cash flows?
A) Cash received from customers.
B) Dividends paid to the company's own stockholders.
C) Payments to government agencies for taxes.
D) Cash paid to compensate employees.
Operating Activity
Business actions that relate directly to the production and delivery of goods and services, impacting the operating income.
Dividends Paid
The portion of a company's earnings distributed to shareholders as a payment.
- Apprehend the division of cash inflows and outflows across the categories in the statement of cash flows.
- Highlight the differences among operating, investing, and financing activities in the context of the cash flow statement.
Verified Answer
MW
Learning Objectives
- Apprehend the division of cash inflows and outflows across the categories in the statement of cash flows.
- Highlight the differences among operating, investing, and financing activities in the context of the cash flow statement.