Which One of the Following Is an Example of Cash

question 215

Multiple Choice

Which one of the following is an example of cash flows from operating activities?

• A)Proceeds from collecting the principal amounts of loans.
• B)Repayment of principals on loans.
• C)Proceeds from the issuance of bonds and notes payable.
• D)Payments to acquire equity securities of other companies.
• E)Receipts of cash from sales.

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Definitions:

Innovation

The process of creating new products, services, or methods that improve efficiency or provide new benefits.

Distribution Method

Strategies and channels a company uses to deliver its goods or services to consumers.

Inverted-U Theory

A hypothesis suggesting that income inequality will rise and then fall over the course of economic development, forming an inverted U-shape curve.

R&D Expenditures

Funds allocated by companies, institutions, or governments towards research and development activities to innovate or improve products, services, or processes.