Which of the Following Would $\bold{not}$ Represent a Financing Activity?
A)Paying Dividends to Shareholders

question 45

Multiple Choice

Which of the following would $\bold{not}$ represent a financing activity?

• A)Paying dividends to shareholders.
• B)An investment of financial capital by the owners.
• C)Borrowing money from a bank to finance the purchase of new equipment.
• D)Collecting cash from customers.

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Definitions:

Business Organization

The legal and structural form taken by a business, such as a corporation, partnership, or sole proprietorship, defining its legal responsibilities and operations.

Professional Corporation

A corporation composed of professionals (such as lawyers, doctors, accountants) who offer their services to the public.

Attorney

A professional licensed to practice law, providing legal advice, and representing individuals and entities in legal matters.

Agent

An individual or entity authorized to act on behalf of another person or entity in contractual or legal matters.