Chp 3 Qulz 1 Which of the following would not be considered

Chp 3 Qulz 1. Which of the following would not be considered an operating activity? O Pay employees for work completed O Purchase supplies on account Purchase equipment for cash O Sell goods to customers

Solution

Answer : Purchase equipment for cash is not an operating activity.

Operating activties are companies core business activities such as marketing, manufacturing, disturbuting and selling. It includes the companies cash inflow like,

Cash outflow like,