Which of the Following Transactions Would Not Be Reported as Cash

question 13

Multiple Choice

Which of the following transactions would not be reported as cash flow from operating activities on a cash flow statement?

• A)Cash collected from customers.
• B)Cash paid to suppliers.
• C)Cash paid for employee wages.
• D)Cash paid for dividends to the company's stockholders.

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Definitions:

Economic Profit

The surplus or profit remaining after deducting both explicit and implicit costs, including opportunity costs, from total revenues.

Interest Rate

The percentage charged on a loan or paid on deposits over a specific period of time, often annually.

Economic Profit

The difference between a firm's total revenue and its total costs, including both explicit and implicit costs, reflecting the true profitability of the business.

Long Run

A time frame in economics where all factors of production and costs are variable, allowing for complete adjustment to changes in the market or economic environment.