Which of the Following Is Not an Investing Activity

question 184

Multiple Choice

Which of the following is not an investing activity?

• A)Purchase of investments for cash
• B)Purchase of equipment for cash
• C)Sale of merchandise for cash
• D)Sale of land for cash

Apply knowledge of sales projections to determine the related costs of goods sold and the required inventory purchases.

Calculate the ending cash balance for a given period based on projected sales, expenses, and cash management policies.

Appreciate the role of credit sales and purchases on a company’s cash flow and working capital requirements.

Determine the effect of borrowing and loan repayments on a company's cash balance.

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Definitions:

Bransford And Johnson

refers to a model of memory and understanding proposed by John Bransford and Marcia Johnson, emphasizing the importance of context in comprehension.

Context

The circumstances or surroundings relevant to a particular event, statement, or idea which can influence its meaning or interpretation.

Recall

The mental process of retrieving information from the past, an important aspect of memory function.

Ideas

Mental representations or thoughts that an individual has. They constitute a fundamental component of cognitive processes.