Cash Flows from Financing Activities Include

question 62

Multiple Choice

Cash flows from financing activities include:

• A)proceeds received from sale of equipment.
• B)proceeds received from sale of the company's shares.
• C)purchase of land.
• D)proceeds from the sale of shares of another company.

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Definitions:

Direct Materials

Direct materials are raw materials that are directly used in the manufacturing process of a product and are easily identifiable and measurable.

Cost of Goods Manufactured

Refers to the total production cost incurred by a company to manufacture products in a specific period, including materials, labor, and overhead costs.

Factory Overhead

All manufacturing-related costs excluding those for direct labor and direct materials.

Direct Labor Costs

Expenses associated with employees who directly contribute to the production of goods or services.