The Business Activity Model Shows the Doing Activities' of a Business

question 70

Multiple Choice

The Business Activity Model shows the doing activities' of a business system. Which element of CATWOE do these activities relate to?

• A) Transformation.
• B) Actors.
• C) Environment.
• D) Owner.

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Definitions:

Direct Method

A technique used in cash flow statements to show actual cash inflows and outflows from operating activities, as opposed to the indirect method.

Accounts Receivable

The funds that a company's customers have yet to pay for products or services they have received but have not settled the bill for.

Sales Revenue

Income received from selling goods and services over a period of time.

Operating Activities

Encompasses the primary revenue-generating activities of an entity, including production, sales, and delivery of the company's products and services.