Which Balance Sheet Accounts Are Most Affected by Operating Activities

question 169

Multiple Choice

Which balance sheet accounts are most affected by operating activities?

• A)Current assets and current liabilities
• B)Long-term assets
• C)Long-term liabilities
• D)Stockholders' equity

Understand the effect of different transactions on the company's operating, investing, and financing activities.

Identify the responsibilities of company management versus independent auditors in relation to financial statements.

Understand the characteristics and accountability in various business ownership structures (sole proprietorship, partnership).

Understand the various approaches to managing conflicts, including their characteristics and outcomes.

---

Definitions:

Individualistic Stage

A phase in human development characterized by an emphasis on personal achievements and independence, often contrasted with collectivist values.

Social Exchange Theory

A psychological and sociological theory suggesting that human interactions are based on the exchange of resources, with the aim of maximizing benefits and minimizing costs.

Intrapersonal Theory

Refers to the study of the individual's mind, emotions, and self-concept, focusing on internal processes and personal development.

Homeostatic Theory

A concept that organisms strive to maintain internal stability, such as temperature or hydration levels, despite external changes.