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An Example of Operating Activities Is the Payment of Dividends

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An example of operating activities is the payment of dividends.


Definitions:

Interest Rate

The percentage of a sum of money charged for its use, often noted annually, on loans or earned on deposits.

Corporate Bonds

Debt securities issued by corporations to finance their operations, which typically offer a fixed rate of return over a defined period of time.

Stocks

Shares of ownership in a company that entitle the shareholder to a portion of the company's profits and assets.

Savings

Funds that remain after an individual's or organization's expenses have been subtracted from its income, which are set aside for future use or investment.

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