Changes in the Current Asset and Current Liability Accounts Are

question 29

Multiple Choice

Changes in the current asset and current liability accounts are reported on the statement of cash flows as:

• A)financing activities.
• B)operating activities.
• C)investing activities.
• D)follows-changes in the current asset accounts are reported as investing activities and changes in current liability accounts are reported as financing activities.

---

Definitions:

Corporate Governance

A set of policies specifying the rights and responsibilities of the various participants in a corporation and spelling out the rules and procedures for making corporate decisions.

Public Securities Markets

Platforms where securities such as stocks and bonds are issued and traded openly, allowing investors to buy and sell them.

Practical Significance

The real-world importance or utility of an outcome or effect, beyond its statistical significance.

Public Company

A corporation whose shares are traded openly on the stock market, allowing public investors to buy and sell ownership in the company.