Which of the Following Describes the Operating Activities as Shown

question 78

Multiple Choice

Which of the following describes the operating activities as shown in the statement of cash flows?

• A) Includes increases and decreases in long-term assets
• B) Includes transactions affecting the capitalization of the business
• C) Includes transactions that primarily impact current assets and current liabilities
• D) Shows the beginning and ending balance of cash

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Definitions:

Investment

The allocation of resources, usually financial, in expectation of a future return.

IFRS

stands for International Financial Reporting Standards, which are a set of accounting standards developed by the IASB that aim to bring consistency to accounting language, practices, and statements globally.

Consolidated Statement

Financial statements that reflect the combined operations, assets, and liabilities of a parent company and its subsidiaries.

Comprehensive Income

The total change in equity for a reporting period other than transactions from owners.