Which of the Following Activities Involves Collecting the Necessary Funds

question 47

Multiple Choice

Which of the following activities involves collecting the necessary funds to support the business?

• A)Operating
• B)Investing
• C)Financing
• D)Delivering

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Definitions:

Shares Outstanding

Shares outstanding refer to the total number of shares of a company held by all its shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s insiders.

BEP

BEP, or Break-Even Point, is the financial analysis point at which total costs and total revenues are equal, implying no net loss or gain.

Operating Costs

Expenses associated with the day-to-day operations of a business, including costs of goods sold, payroll, and overhead.

Net Sales

Net Sales is the revenue generated from sales of products or services, after deducting returns, allowances for damaged or missing goods, and discounts.