Which One of the Following Is Considered a Financing Activity

question 94

Multiple Choice

Which one of the following is considered a financing activity?

• A)The payment of interest on a note payable to the bank
• B)Selling products to customers
• C)Paying wages to employees
• D)The payment of a cash dividend

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Definitions:

Aggregate Demand

The total demand for all goods and services within an economy at a given overall price level and in a given time period.

Lower Prices

A strategy or condition where the cost of goods or services is reduced to attract customers or gain a competitive edge in the market.

Stored-value Money

A type of electronic money that is stored on a card or a digital wallet, representing a claim on a predefined amount of currency.

Gift Cards

Prepaid stored-value money cards issued by a retailer or bank, used as an alternative to cash for purchases within a particular store or related businesses.