[amp_mcq option1=”Operational activity” option2=”Investing activity” option3=”Financing activity” option4=”Inflow of cash” correct=”option2″]<\/p>\n
The correct answer is: B. Investing activity<\/strong><\/p>\n Investing activities are those that involve the acquisition and disposal of long-term assets, such as property, plant, and equipment. The purchase of fixed assets is an investing activity because it involves the acquisition of a long-term asset.<\/p>\n Operational activities are those that are directly related to the production and sale of goods and services. Examples of operational activities include the purchase of inventory, the sale of goods and services, and the collection of receivables.<\/p>\n Financing activities are those that involve the raising and repayment of capital. Examples of financing activities include the issuance of shares, the repayment of loans, and the payment of dividends.<\/p>\n Inflow of cash is a cash receipt, such as from the sale of goods and services, the collection of receivables, or the issuance of shares.<\/p>\n I hope this helps! Let me know if you have any other questions.<\/p>\n","protected":false},"excerpt":{"rendered":" [amp_mcq option1=”Operational activity” option2=”Investing activity” option3=”Financing activity” option4=”Inflow of cash” correct=”option2″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-54718","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"\n