The following items would be classified as operating activities in the statement of cash flows:

CS Executive · Cost and Management Accounting · PYQS · June 2018
The following items would be classified as operating activities in the statement of cash flows:
(A) Acquisition of equipment, payment of dividends
(B) Proceeds from borrowing, payment of interest
(C) Payment of salaries, cash received from sale of goods
(D) Payments on loan, payments for taxes

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Cost and Management Accounting

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