Which of the Following Will Be Categorized as an Operating

question 66

Multiple Choice

Which of the following will be categorized as an operating activity on the statement of cash flows?

• A) Cash received by selling old equipment
• B) Cash paid for purchase of new machinery
• C) Cash paid to employees
• D) Cash paid for patent

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Definitions:

Forest Work

Labor or activities related to the management, conservation, and exploitation of forests, including logging, reforestation, and wildlife preservation.

American Economy

The economic system of the United States, characterized by a mixed economy with private freedom, including the private sector being the majority of the economy.

Annual Rate

A term often used in finance to describe the interest rate over the period of one year.

Economic Growth

is the increase in the inflation-adjusted market value of the goods and services produced by an economy over time, typically measured by GDP.