Which of the Following Would Not Be Considered an Operating

question 64

Multiple Choice

Which of the following would not be considered an operating activity?

• A)Pay employees for work completed
• B)Purchase supplies on account
• C)Purchase equipment for cash
• D)Sell goods to customers

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Definitions:

Consumer Surplus

The discrepancy between the entire sum buyers are ready and capable of paying for a product or service and what they really spend.

Marginal Utility

The additional satisfaction or benefit received by a consumer from consuming one more unit of a good or service.

Consumer Surplus

Consumer surplus is the difference between the total amount that consumers are willing and able to pay for a good or service and the total amount that they actually pay.

Consumer Surplus

The difference between the total amount consumers are willing and able to pay for a good or service versus the total amount they actually pay.