Customer-Level Activities Are Also Referred to as Customer-Sustaining Activities

question 32

True/False

Customer-level activities are also referred to as customer-sustaining activities.

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Definitions:

Statement of Cash Flows

A financial document that shows how changes in balance sheet accounts and income affect cash and cash equivalents.

Operating Activities

Activities related to the core business operations of a company, such as selling goods and services.

Indirect Method

A financial reporting approach used to prepare the cash flow statement, where net income is adjusted for non-cash transactions, changes in working capital, and other items.

Cash Dividends

Distributions of a company's earnings to shareholders in the form of cash.