The Activities That Are Included in the Operating Activities Section

question 62

Multiple Choice

The activities that are included in the operating activities section of the statement of cash flows are ________.

• A)activities that obtain the cash needed to launch and sustain the business
• B)activities that create revenue or expenses
• C)activities that increase or decrease long-term assets
• D)activities that pertain to construction of new facilities

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Definitions:

Discretionary Spending

Non-essential expenditures that individuals choose to make out of their available income after fulfilling all necessities.

Affordable Fitness Center

A gym or physical fitness facility offering memberships or services at a price that is reasonable or lower than average.

Nontraditional Student

A term for students who pursue tertiary education who may not fit into the traditional college-aged student demographic, often due to delayed enrollment, part-time attendance, or other life circumstances.

Student Loans

Financial loans provided to students to help cover educational expenses, which typically must be repaid after graduation.