Which of the Following Statements About the Statement of Cash

question 58

Multiple Choice

Which of the following statements about the statement of cash flows is correct? 

• A) A purchase of equipment is classified as a cash inflow from investing activities.
• B) Cash dividends paid are classified as cash flows from operating activities.
• C) Cash dividends received on stock investments are classified as cash flows from operating activities.
• D) A company with a net loss on the income statement will always have a net cash outflow from operating activities.

---

Definitions:

Social Responsibility

The obligation of individuals, groups, or organizations to act for the benefit of society at large, considering the impact of their activities.

High Status Persons

Individuals who hold a position of power, prestige, or high social standing within a group or society.

Communication

The process of exchanging information, ideas, thoughts, and feelings between people through speech, writing, visuals, or behavior.

Intrasender Role Conflict

A situation where an individual receives conflicting messages or expectations from the same source, leading to stress or confusion.