The Correct Order of the Sections on a Statement of Cash

question 10

Multiple Choice

The correct order of the sections on a statement of cash flows is

• A)operating, investing, financing.
• B)financing, investing, operating.
• C)investing, operating, financing.
• D)operating, financing, investing.

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Definitions:

Foreclosure Order

A legal directive which authorizes the sale of collateral upon borrowers' failure to pay back a loan.

Judicial Lien

A lien obtained by a creditor through court proceedings, securing the payment of a judgment by claiming the debtor's property until the debt is satisfied.

Household Items

Personal belongings and objects that are used within a home for daily functions and activities.

Wage Garnishment

A court-ordered process that requires an employer to withhold a portion of an employee's wages and send it directly to the creditor until a debt is paid off.