Which of the Following Statements Regarding Cash Flows from Investing

question 38

Multiple Choice

Which of the following statements regarding cash flows from investing activities is true?

• A)The proceeds from sales of investments are reported as cash inflows from investing activities.
• B)Cash flows from investing activities are calculated by making adjustments to net income.
• C)Cash paid to acquire long-lived assets is reported as a cash inflow from investing activities.
• D)Cash received from issuing a long-term payable is reported as a cash inflow from investing activities.

---

Definitions:

Licenses

Official permits to own or do something, typically issued by a government authority.

Central Park

A large urban park in New York City, known for its lush landscapes, walking paths, and cultural attractions.

Price Difference

The disparity in the cost between two or more goods or services.

Long-run Equilibrium

A state in an economy or market where all factors, including prices, supply, and demand, are fully adjusted and stable over time.