Examlex
Karen Simon recently purchased a digital camera. She considered three cameras-a Sony that was priced at $239.00, a Canon priced at $319.00, and a Nikon priced at $399.00. Karen couldn't tell much difference between the cameras, so she bought the Nikon, figuring that because it was the most expensive of the three, it must be the best. According to the textbook, Karen was making a ________.
Investing Activities
Investing activities are financial transactions related to the acquisition or sale of long-term assets or investments not related to the core business operations.
Financing Activities
Transactions and events affecting the equity and debt of the company, usually related to borrowing, repaying, and issuing equity.
Noncash Investing
Investment activities that do not involve the immediate outlay of cash, such as the exchange of one asset for another.
Financing Activities
Transactions and events that affect the long-term liabilities and equity of a company, including issuing shares, borrowing money, and repaying debt.
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