Which of the Following Would Be Considered an Investing Activity

question 189

Multiple Choice

Which of the following would be considered an investing activity on the statement of cash flows?

• A)An issuance of stock
• B)A sale of equipment
• C)Payment of dividends
• D)Purchase of inventory

Comprehend the role of examples, evidence, and storytelling in strengthening messages.

Appreciate the value of pre-writing processes like outlining in crafting coherent messages.

Identify factors that pertain to the scope of a business message.

Understand the effectiveness and appropriateness of narrative techniques in business communication.

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Definitions:

Option Agreement

A share transfer restriction granting a corporation or its shareholders an option to buy a selling shareholder’s shares at a price determined by the agreement.

Buy-and-Sell Agreement

a legally binding agreement between co-owners that outlines what will happen to an owner’s share of the business if they depart the business due to death or any other reason.

De Facto Corporation

A business that operates as if it were a corporation although it has not completed the formalities required for legal incorporation.

Organization Meeting

An initial meeting held to complete the formation of an entity, where bylaws are adopted, officers elected, and other organizational matters decided.