An Example of a Cash Outflow from Operating Activities Is

question 8

Multiple Choice

An example of a cash outflow from operating activities is

• A) loans made by the company to other parties.
• B) a payment for employee salaries.
• C) payments to acquire treasury stock.
• D) payments to acquire investments in debt and equity securities.

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Definitions:

Healthcare

A system, or series of services, aimed at maintaining or improving the health of individuals through prevention, diagnosis, treatment, and rehabilitation.

Federal Government

The national government of the United States, which consists of three branches: legislative, executive, and judicial.

Taxes

Compulsory financial charges or levies imposed by a government on individuals and organizations to fund public expenditures.

Budget Deficit

The situation where a government's expenditures exceed its revenues over a specific period, leading to borrowing or debt accumulation.