Cash Flows from Operating Activities Include

question 115

Multiple Choice

Cash flows from operating activities include:

• A)changes in accounts receivable.
• B)paying principal to lenders.
• C)purchases of equipment.
• D)proceeds from stock issuance.

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Definitions:

Marginal Utility

The additional satisfaction or utility gained from consuming one more unit of a good or service.

Total Utility

The overall satisfaction or benefit a person receives from consuming a particular quantity of goods or services.

Income Effect

The alteration in a person's or an economy's earnings and its effect on the amount of a product or service they seek to purchase.

Law of Demand

The principle that there is an inverse relationship between the price of a good and the amount of it consumers are willing to buy, all else being equal.