Which of the Following Activities Is an Operating Activity

question 17

Multiple Choice

Which of the following activities is an operating activity?

• A) Collections of accounts receivable.
• B) Investing in equity securities of other companies.
• C) Payment of dividends.
• D) Issuing common stock

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Definitions:

Surplus

An excess of production or supply over demand, often resulting in lower prices or wasted resources.

Demand for Electronic Readers

The consumer desire or market requirement for digital devices designed for reading e-books and similar electronic documents.

Supply

The total amount of a specific good or service that is available to consumers at a given price level, at a specific time.