On the Cash flOw Statement, the Changes in Revenues and Expenses

question 13

Multiple Choice

On the cash flow statement, the changes in revenues and expenses caused by accruals and deferrals are classified as which of the following?

• A) investing activities
• B) financing activities
• C) operating activities
• D) non-operating activities.

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Definitions:

National Saving

The total of private and public savings in a country, representing the portion of national income not consumed or spent by the government.

Closed Economy

A type of economic system where a country does not engage in trade with other countries, aiming to be self-sufficient.

Long-Term Bonds

Are debt securities with a maturity date extending beyond ten years, offering an investor fixed interest payments over a long duration.

Bond Buyer

An individual or entity that purchases bonds as a form of investment, looking to earn interest over time.