List and Define the Criteria of Corporate Social Responsibility

question 122

Essay

List and define the criteria of corporate social responsibility.

Acquire knowledge on how current liabilities and assets adjustments are treated in the indirect method.

Distinguish between operating, investing, and financing activities in the context of cash flows.

Understand the definition and purpose of the statement of cash flows.

Differentiate between operating, investing, and financing activities.

---

Definitions:

Treasury Bills

Treasury Bills are short-term government securities issued at a discount from the face value and redeemed at full face value upon maturity, typically used as a low-risk investment.

Opportunity Cost

The price paid for not selecting the next most favorable choice when deciding.

Market Interest Rates

The prevailing rates at which borrowers can obtain loans and lenders can invest in debt securities, influenced by the overall demand and supply.

Precautionary Motive

The need to hold cash as a safety margin to act as a financial reserve.