Which of the Following Would Be Considered an Operating Activity

question 119

Multiple Choice

Which of the following would be considered an operating activity on the statement of cash flows?

• A)Dividends paid to stockholders
• B)The sale of inventory
• C)Gain on sale of short-term investments
• D)The receipt of stock dividends from investment stock

---

Definitions:

Short Term

Relating to or occurring on a brief or immediate timescale, typically within a year or less.

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale.

Additional Risk

New or increased levels of exposure to potential loss or damage, which could impact an entity’s operations, finances, or reputation.

Transport Density

A measure of how much weight or volume of cargo is transported over a specific distance, often used in freight and logistics to plan and optimize transport loads.