If last year your debt ratio was 1 and this year it is 0.25, that is good news.
Answer:
yes
Explanation:
Four business leaders collaborate on an environmental initiative to benefit their local community. Agnes and Leo do It mainly to draw positive
attention to their businesses. Martinique does it because she is concerned that people who live in the area are not living in the healthiest
possible environment and wants to do all she can to improve conditions for them. Janelle does it because she grew up in that community and
wants to do all she can to help it prosper. Which of these business leaders BEST demonstrate altruism?
Four business leaders collaborate on an environmental initiative to benefit their local community. Agnes and Leo do It mainly to draw positive attention to their businesses. Martinique does it because she is concerned that people who live in the area are not living in the healthiest possible environment and wants to do all she can to improve conditions for them. Janelle does it because she grew up in that community and wants to do all she can to help it prosper. Which of these business leaders BEST demonstrate altruism.
Martinique does it because she is concerned that people who live in the area are not living in the healthiest.
Dan Harmon is the creator of the American comedy Community. The program aired on NBC for its first five seasons from September 17, 2009, to April 17, 2014, then on Yahoo! Screen for its last season from March 17, 2015, to June 2, 2015. The program had 110 episodes across its six seasons. In the sitcom, which is set at a community college in the fictional Colorado town of Greendale, Joel McHale, Gillian Jacobs, Danny Pudi, Yvette Nicole Brown, Alison Brie, Donald Glover, Ken Jeong, Chevy Chase, and Jim Rash are among the ensemble cast members. It frequently honors film and television clichés and tropes and frequently makes strong use of meta-humor and pop culture references.
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Leading others in cross-cultural situations is complicated. Which of the following is NOT one of the many reasons why such situations can be complicated?
Languages
Customs
Work ethics
Styles of dress
Leading others in cross-cultural situations is complicated. Styles of dress are NOT one of the many reasons why such situations can be complicated.
Cross-cultural communication is the practice of identifying both cultural groups' differences and commonalities in order to interact successfully within a particular situation.
You'll be able to express yourself with confidence and learn how to be patient with others who don't share your background if you develop cross-cultural communication skills. Additionally, it will provide you with a wonderful chance to interact with students from other countries and talk about your differences.
Learning the fundamentals of this sort of communication is the first step in overcoming obstacles and preventing misunderstandings in cross-cultural communication. These are openness, awareness, readiness, language, and humour.
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While Davidson outlines several issues that the parties are actually not terribly divided on, he also outlines two issues that are hyper-partisan. What are these fiscal issues and why do you think that the parties are so divided? Do you lean towards the Democrat or Republican view on these issues?
Davidson mentions tweaking the fiscal answers of raising the social protection retirement age, lowering medical care for rich seniors, and raising clinical healthcare contributions.
The two fiscal issues that are hyper-partisan are as follows:
Army protection spending and problems of taxes.
- The events are so divided chiefly due to the fact they have got severe opposites points of view on several problems.
- at the issues, I lean towards the Democratic view.
Democracy is a form of government wherein the humans have the authority to planned and determine regulation, or to choose governing officials to achieve this. The U.S. is an example of Democracy, they have got a consultant democracy wherein the people choose the executive and Legislative officials for the debate over guidelines that hobby the humans.
Democracy is a gadget of government in which legal guidelines, rules, leadership, and principal undertakings of a kingdom or different polity are immediately or in a roundabout way decided via the human beings, a collection historically constituted through only a minority of the population.
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Richards Corporation purchased and used $75.000 of supplies during August. The purchase was on account, and had not been paid by the end of the month. The appropriate journal entry to completely account for this activity is:
The appropriate journal entry to completely account for this activity is:
Dr. Supplies expense $75,000
Cr. Accounts payable $75,000
What does purchase on account mean?
Purchase on account means that supplies whose value is $75,000 was purchased on credit with no cash payment, rather Richards Corporation promises to make payment at a later date.
In other words, we need to debit the increasing account and the fact the supplies have been used means that the supplies expense account should be debited such that the accounts payable, which indicates that the amount is owed is credited.
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The Vera Molding company has two alternatives for meeting a customer requirement for 8,700 units of a specialty molding. If done in-house, fixed cost would be $476,000 with variable cost at $40 per unit. Alternative two is to outsource for a total cost of $110 per unit.
What is the break-even quantity? Round your answer to the nearest whole number.
units
Should the firm make the 8,700 units in-house or outsource?
Firm should produce the molding
by outsourcing
.
Because the Break-even quantity is 4,430.38 units and lesser than 8,700 units, then, we should make it in-house.
What is the Breakeven quantity?This refers to the number of incremental units that the firm needs to sell to cover the cost of a marketing program or other type of investment.
Contribution margin = Total cost - Variable cost
Contribution margin = $110 - $40
Contribution margin = $70
Fixed Cost = $350,000
Break-even quantity = $350,000 / $79
Break-even quantity = 4,430.37975
Break-even quantity = 4,430.38 units
In conclusion, as the Break-even quantity is 4,430.38 units and lesser than 8,700 units, then, we should make it in-house.
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Which of the following would generally be true about the international price as compared to the domestic price in an International Supply Curve? A. The domestic and international prices are equal. B. The international price is higher. C. The international price is lower.
Answer:
A number is a correct answerWhat is the relationship between annual percentage rate (APR) and the true cost of credit?
The relationship between annual percentage rate (APR) and true cost of credit shows that they are directly proportional to each other.
The annual rate of interest that a person must pay on a loan or to receive interest on the bank account is known as the annual percentage rate (APR). APR is utilized for everything, including credit cards, mortgages, and auto loans.
True cost of credit is the overall price that the borrower must pay for the loan. It is determined by adding all expenses that the borrower must pay over the course of a loan (such as interest payments, fees, penalties, commissions, etc.).
Thus, it is evident that that the actual cost of the loan decreases as the annual percentage rate decreases.
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In the graduate program at Herringbone University, students are allowed only one missed class per semester or they face academic discipline. Three female students have approached you as the diversity and ethics officer with a concern about the policy They explain that they all have young children (as do many students in the program), and getting childcare during class times is difficult because some of the classes don't end until 8:00 in the evening. They feel the policy is unfair, especially since the university doesn't offer any support. leniency in policy, or childcare options. In addition, the location of the university (an upper middle class neighborhood where most children have at least one parent at home) is not where most students live (a neighborhood where most children have two working parents or a single working parent)
As a Diversity and Ethics Officer I would respond to the issue by raising a request for a day/evening care for children (free or at a lowest possible rate) and starting a bus route.
What is University?A university is a place to study where the students study after their high school. Studying at university gives them a Bachelor's degree.
The concerns of the students are true and I am responsible to respond them and their issues. The issue of child care can be raised to start a day/ evening care at the university where the students can study without caring for their child.
Also the traveling issue can be resolved by starting a bus route by the university itself or alternatively the local authorities can be asked to start a bus route that will enable the students to travel to and from university.
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I only need help with 5b
Answer:
.
Explanation:
I'm pretty sure it's asking what could help, or stop this. (What could end the pay gap)
Frank Petronick decided to start an accounting practice after graduation from college. The following is a list of events that occurred concerning Frank’s practice.
June 1: After shopping around, Frank found an office to lease and signed a lease agreement. The lease calls for a payment of $1051 rent per month.
June 4: Frank borrowed $3840 from his grandmother to assist in starting up his new business
June 4: deposits the $3840 plus $534 of his own cash in a new bank account at BMO under the name Petronick Accounting Services.
June 6: Paid the landlord the first month’s rent.
June 8: purchased furniture for $3290 on account
June 11: moved into the office and obtained the first assignment from a client to prepare year end financial statements for $1868
June 15: Performed the work on the assignment and sent an invoice to the customer for $1868
June 15: Paid half of the amount of the June 8 purchase of furniture
June 18: Purchased supplies on account for $339
June 26: paid for internet services, $53 cash
June 28: collected $903 of June 15 billing to the customer
June 30: withdrew cash from the business of $135 for personal expenses
A) prepare a tabular analysis of the effects of the above transactions on the accounting equation.
The accounting equation will be depicted in the debit and the credit form.
What is an accounting equation?An accounting equation can be defined as the transaction with her around two or more transactions with the balance out of the cash book trial balance as well as the account ship.
In the given question the date June 1 and June 4 would not be recorded as this is not considered an accounting transaction or a financial transaction as they are to be paid in the near future, but the rest of the recordings will be counted and accounted for in debit and the credit in the journal entry.
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Suppose the market demand for cigarettes is given in the following table.
price (per pack) Quantity of demanded (millions of packs per year)
$10 2
9 4
8 6
7 8
6 10
5 12
4 14
3 16
Suppose further that smoking creates external costs valued at $2.00 per pack. Graph the market demand curve, the social demand curve, and answer two questions about the market and socially optimal quantities.
Graph the social and market demand curves.
If cigarettes are priced at $7 a pack,
Instructions: Enter your responses as whole numbers.
a. What is the quantity demanded in the market?
___ million packs per year
b. What is the socially optimal quantity?
____ million packs per year
c. If the government were to intervene and tax cigarettes, how large of a tax is needed per pack to achieve this optimal outcome?
$ ____per pack
at the beginning of the year, a firm has current assets of 315 and current liabilities of 219. At the end of the year, the current assets are 467 and the current liabilities are 259. What is the change in net working capital
Answer:
at the beginning of the year, a firm has current assets of 315 and current liabilities of 219. At the end of the year, the current assets are 467 and the current liabilities are 259. What is the change in net working capital
Based on the current assets and liabilities at the beginning of the year and the end, the change in net working capital is $152
How did net working capital change?Net working capital can be found as:
= Current assets - Current liabilities
Beginning of year net working capital:
= 315 - 219
= $96
End of year net working capital:
= 467 - 259
= $248
The change in net working capital is:
= 248 - 96
= $152
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Mr B aged 63 years, has earned rupees 75,00,000 out of his business . His ex- wife gifted him cash in account worth rupees 6 lakh. He spent a total of rupees 15 lakh during a family trip. He won a lottery of 19 lakh rupees. Out of happiness he gifted his wife cash of rupees 450000. He bought a life insurance policy and paid a premium of 50000 annually. He paid tuition fee for his daughter for rupees 50000. He invested rupees 80000 in PPF. One of his existing life insurance policy got matured and he received a total of rupees 32 lakh. Seeing his health conditions the doctor adviced him a medical test of rupees 6000 following he bought a health insurance for rupees 27000. Calculate his taxable income and tax liability.
Taxable Income is Rs 98,17,000, Taxable Liability is Rs 28,45,100
Taxable Income is the portion of a person’s or company’s gross income that the govt deems subject to taxes.
Taxable income consists of each earned and unearned income, on the other hand, Tax liability is the payment owed by an individual, Tax Liability is calculated according to the income of an individual and Tax% varies from0% to 30% depending on the income.
Income from business = 75,00,000
income from other sources
Lottery = 19,00,000
Life insurance maturity = 32,00,000
car gift from ex-wife = 6,00,00
Gross Income = 1,32,00,000
Deduction;
LIC premium = 50,000
Tution fees = 50,000
PPF = 1,80,000
Max deduction = 1,50,000
Health insurance = 27,000
Medical tset = 6,000
Total deduction = 32,00,00
Taxable Income is Rs 98,17,000
Taxable Liability is Rs 28,45,100
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Explain the difference between an intended and realized strategy. What causes this difference?
The initial plan is a planned strategy. It turned out to be a successful plan in the end. The two are frequently dissimilar because the desired approach may not be effective or because competitors may exert pressure that necessitates shifting the strategy.
The strategy that a company intends to implement is referred to as its intended strategy. An organization's strategic plan often includes a detailed description of its intended strategies. A business plan is a name given to a strategy plan developed for a new firm.
As an individual, you might decide to exercise more than three days per week, or as a business, you might decide to launch one new product each year.
The plan that an organization really employs is known as a realized strategy. A firm's intended strategy, or what it had planned to do, its deliberate strategy, or the aspects of the intended strategy that the firm has continued to pursue over time, and its emergent strategy combine to create its realized strategies (i.e., what the firm did in reaction to unexpected opportunities and challenges).
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Angie's car needs new tires. The tires will cost $700. She would rather get a used car, something newer than her current car. The used car she wants is $3,700, and her trade-in would be worth $2,500. Her old car gets twenty-two miles per gallon. The newer car gets thirty-one miles per gallon. Use the PACED decision process to decide what Angie should do. Show each step.
Answer:she needs to do what’s best for her
Explanation:
Using the PACED decision process, Angie should buy the new car.
What is the PACED decision process?The PACED decision process is a decision-making guide for solving problems in a rational and systematic way.
The PACED process involves:
P: Problem DefinitionA: List the AlternativesC: Determine the Criteria (rules for evaluating or testing options)E: Evaluate the alternativesD: Decision-makingFollowing the PACED decision process, Angie should:
Step One: Define the problem she has with her old car (whether it is a question of tires or mileage). If it is both, and she feels that a new car will solve the problem, then she could further consider buying the used car.
Step Two: Angie should exhaust the alternatives to solving her problem. It could be that the old car could improve its mileage with new tires. Mileage per gallon is not the only basis for car replacement. Other factors should be considered.
Step Three: From step two above, Angie should define the rule for evaluating her choices.
Step Four: This is the evaluation stage when Angie needs to undertake some computations, especially cost-benefit analysis.
Step Five: Angie should make her choice and go for it without further delay.
Data and Calculations:Cost of tires = $700
Cost a used car = $3,700
Trade-in value for the car = $2,500
Amount to pay = $1,200 ($3,700 - $2,400)
Opportunity cost of replacement = $500 ($1,200 - $700)
Old car's mileage per gallon = 22 mpg
New car's mileage per gallon = 31 mpg
Thus, using the PACED decision process, Angie should buy the new car and spend an additional $500 in opportunity costs.
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Question 12
In the context of international trade restrictions, governments tend to use protective
are crucial to the domestic economy.
export duties
quorums
tariffs
voluntary export restraints
In the context of international trade restrictions, governments tend to use protective are crucial to the domestic economy: tariffs
A government is the device or institution of people governing a prepared community, normally a state A gadget of government distributes strength amongst exclusive parts and stages of the state. Political scientists examine the makes use of energy, inclusive of how energy is shipped inside a kingdom. the quantity of power held with the aid of the vital authorities determines the system of the presidency a nation has.
Government is the gadget or institution of human beings governing an organized community, commonly a kingdom. in the case of its wide associative definition, authorities usually consist of legislature, govt, and judiciary. a government is an institution or a device made of a set of human beings that takes care of or manages a country or a country. every government has its own charter or a hard and fast of fundamental standards that it follows to make sure effective governance.
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While shopping for prom dresses, Madison bought the second dress she tried on. As soon as she put on the dress, she immediately thought that it "just felt
Which evaluative criteria choice did Madison use when choosing her dress?
Answer:
It just felt right
Explanation:
concept of the value in marketing
In marketing, value is defined as the difference between a prospective customer's appraisal of the benefits and costs of one product versus others.
What is the market value?Market value is the price that purchasers are willing to pay for an asset in the marketplace. In the case of publicly traded assets or entities, it is also known as market capitalization and is computed by multiplying the current price by the number of outstanding units.
There are a number of components that go into establishing the market value of various assets, such as corporations, and real estate, it involves a lot more than knowing share prices.
The value of intangibles and the future worth of linked assets can also be considered in determining corporate market value. Market value is more than a price; it reflects the genuine underlying value, not just the perceived value.
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Make Academic Connections
Writing Write a one-page essay about a decision you
made recently. Describe how you did or did not use the
steps of the decision-making process. Discuss the out-
come of your decision.
The decision-making procedure allows for the exploration of all alternatives with the intention to clear up Academic Connections, and it ensures that the first-class answer is discovered. The choice-making manner consists of the subsequent steps: define, become aware of, determine, keep in mind, put into effect, and examine.
A decision-making system is a series of steps taken by using a character to determine the high-quality choice or course of action to satisfy their needs. In an enterprise context, it is fixed of steps taken by using managers in an employer to determine the planned path for business tasks and to set unique moves in movement.
The selection-making allows clear up problems promptly and creates a leadership role for the selection-makers. strong choices must be unbiased and without any emotional impacts that could make us forget shortcomings. Such selection-making needs to also be transparent and logical.
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ETHICS Sophia negotiated a contract with Pete under which she would buy his company for $10 million plus the amount of the company’s outstanding debt (approximately $1 million). But when Pete sent a draft of the contract, it stated that the purchase price would be $10 million less the company’s debt. What is Sophia’s ethical obligation to Pete? Should she tell him about the mistake? What Life Principles would you apply in this situation? What would Kant say?
In exchange for buying Pete's business for $10 million plus the balance of its debt (about $1 million), Sophia and Pete arranged a contract. The purchase price, however, was $10 million less than the company's debt when Pete provided a draft of the deal. What ethical duty does Sophia have to Pete? Should she let him know about the error? Which life lessons would you apply in this circumstance? How would Kant respond?
It is Sophia's moral responsibility to inform Pete of the contract draft's inaccuracy and arrange for its correction When a contract error results in litigation, the court will only alter the terms of the agreement if there is convincing evidence that the parties meant to perform differently than what is specified in the agreement. There is no evidence to back the claim because the agreement was designed such that Sophia would buy Pete's company for $10 million plus the amount of the company's existing debt, which rarely occurs against the terms of a contract by accident. So if Sophia didn't tell Pete about the mistake, Sophia would win but Pete would lose. In this case, I would act morality's guiding ideals. In my opinion, Sophia should tell Pete about the mistake and act in a way that is morally proper given the situation. According to Kant, morality is founded more on upholding one's moral duties than it is on the outcomes of one's activities. Kant would then counsel Sophia to inform Pete of the error because it is morally required of her to tell the truth when entering into a contract.
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Over time, the stock market has…
A. Experienced highs and lows but increased in overall value
B. Had slight ups and downs but stayed abt the same in value
C. Rarely experienced changes and has maintained the exact same value
D. Gone through severe ups and downs with an overall decrease in value
Over time, the stock market has D. Gone through severe ups and downs with an overall decrease in value.
What is the stock market?An equity market, stock market, or share market is a gathering of buyers and sellers of equities, which reflect ownership claims on companies. Securities listed on a public stock market may be among these stocks.
On the stock market, buyers and sellers of securities can interact, communicate, and transact business. The markets serve as a price discovery mechanism for corporate stock and a barometer for the health of the national economy. Buyers and sellers can be confident that they will receive a fair price, a high level of liquidity, and transparency since market participants compete in an open market.
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What is the main reason to avoid renting to own?
O If the item breaks, you have to buy a new one.
O You are buying used merchandise.
O It can be weeks before the item is delivered.
You will pay much more than the cost of the item in a short period of time.
The main reason to avoid renting and instead to own is If the item breaks, you have to buy a new one.
Why do people avoid renting?The main problem with renting is that you are not the owner of the object in question. This means that you cannot handle it with much risk.
If the item breaks for instance, you will then have to buy it or pay for it. This would defeat the purpose f renting because you still incur the full cost and the rental cost.
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Answer:
You will pay much more than the cost of the item in a short period of time.
Explanation:
connexus
2. What are three types of financial reports a business prepares?
Three types of financial reports a business prepares are the balance sheet, the income statement, and the cash flow statement.
The process of recording and communicating financial performance over predetermined time periods, typically on a quarterly or annual basis, is known as financial reporting. Financial reports are used by businesses to organize accounting data and present their current financial situation. The balance sheet, the income statement, and the cash flow statement are the three primary types of financial statements. Each provides distinctive information with connected details. Together, the three statements provide a complete picture of the company's operating activities, including a breakdown of the company's assets and liabilities, revenues, and expenses, as well as cash flows from operating, investing, and financing activities.
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Select the correct answer from each drop-down menu.
How will you Identify a file type on your computer?
A file type is the standard used to
and information in a computer. All file types have unique
determine which program to use to open a particular file and to access its data.
Nepal is multi media is co on of this
All of the following statements are correct regarding the credit life insurance except
All of the following facts about the credit life insurance are true, with the exception of Benefits are paid to the borrowers beneficiary
so, the correct answer is A.
A sort of life insurance coverage called credit life insurance is intended to settle a borrower's outstanding obligations in the event of the borrower's passing. As a loan is repaid over time, the face value of a credit life insurance policy declines proportionally with the balance until both approach zero. Credit life insurance is frequently provided whenever you borrow money, such as during the closing of a mortgage, while getting a car loan, or when acquiring a line of credit. In the event that the borrower passes away, the policy repays the money. Credit life insurance would shield your spouse or other co-signer from having to continue paying loan payments in the event of your passing.
The question is incomplete, the complete question is:
All of the following statements are correct regarding Credit Life Insurance EXCEPT:
A. Benefits are paid to the borrowers beneficiary
B. The amount of Insurance permissible is limited per borrower
C. Premiums are usually paid by the borrower
D. Benefits are paid to the creditor
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1. The _____ is also known as location departmentalization, which is a logical structure and sells its goods in different regions.
A. Geographic structure
B. Matrix organisational structure
C. Multiple Departmentalization
D. Network Structure
2. A process in which managers make a decision as to what type of organisational structure is sufficiently aligned to the external environment and which is most appropriate to the strategies and plans of the organisation
A. Accountability
B. Coordination
C. Organisation design
D. Division of work
3. Emerges naturally from the social relationships which develop between the employees within the organisation.
A. Division of work
B. Job specialization
C. Unity of Command
D. Informal Structure
4. This entails a detailed analysis of work to be done and resources to be used, to accomplish the aims of the business.
A. Organising
B. Scalar Principle
C. Unity of Command principle
D. Job design
5. The organisation design process involves the following steps except_____
A. Reflect on plans and objectives
B. Establish major task and activities
C. Design jobs and assign to employees
D. Identify top level managers
6. The Spokesperson role of a manager involves passing on information received to individuals within the organisation who would benefit from it.
A. True
B. False
7. The formal organisational structure emerges naturally from the social relationships which develop between the employees within the organisation.
A. True
B. False
8. The _____ builds on the features of the network organisation and is a streamlined model that fits rapidly changing and dynamic business environment.
A. Network Structure
B. Geographic Structure
C. Virtual Network Structure
D. Customer based Structure
9. The second step of the organisation design process is
A. Design jobs and assign to employees
B. Define worker relationships
C. Reflect on plans and objectives
D. Establish major task and activities
10. The ____ is a divisional structure where each product or business line is handled by a self-contained division within the business.
A. Team Structure
B. Product structure
C. Virtual Network
D. Matrix Structure
The Geographic structure is likewise called location departmentalization, that's a logical structure that sells its goods in special areas.
In geography, area or location are used to denote a location (point, line, or region) on the planet's floor or elsewhere. The term location commonly implies a better diploma of truth than region, the latter often indicating an entity with an ambiguous boundary, relying greater on human or social attributes of region identification and feel of vicinity than on geometry.
Definition of location: a position or website occupied or available for occupancy or marked by using a few distinguishing functions: state of affairs tons of the attraction of the house is in its vicinity. b(1): a tract of land designated for a reason the area for mining declare. (2) Australia: farm, station.
Location either refers back to the actual range and longitude coordinates (absolute region) of something on this planet's surface, or it describes something's role in connection with something else (relative area). place, on the other hand, refers back to the bodily and human characteristics of a niche on the map.
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Picture yourself ten years from now. Do you think having a debit card or using a prepaid card will be more advantageous? Why?
Having a debit card will be more advantageous that having a prepaid card because:
Debit cards have lower fees. Debit cards don't have to be loaded to be used. Which is better between prepaid and debit cards?Prepaid cards are generally better for those that do not have bank accounts or do not want to link their spending to their bank accounts on they have less advantages in general.
They often have higher fees than debit cards which sometimes have little to no fees. And because prepaid cards are not connected to your account, they will need to be loaded each time as opposed to the convenience offered by debit cards.
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Juanita makes $56 an hour at work. She has to take time off work to purchase her skirt, so each hour away from work costs her $56 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop. As you answer the following questions, ignore the cost of gasoline and depreciation of her car when traveling.
Complete the following table by computing the opportunity cost of Juanita's time and the total cost of shopping at each location.
Answer:
1 hour and a 1/2
56/2= 28
56+28= 84
$84
Explanation:
Well it takes her 30 minutes to shop, 30 minutes to get there, and that means 30 minutes to leave.
I hope this helps!
If you need any more information just comment!
Have an amazing day!
A statement of cash flows classifies cash receipts and cash payments into what 3 categories of activity? For each category of activity, share 2 specific examples of both cash receipts and cash payments based on 2 different business scenarios of your choosing. The business scenarios you choose can be based on real or fictional companies. For example, if you chose Uber and the fictional MarksABunch Art Supplies company, you would share 6 examples of cash receipts and cash payments per company, each broken out into one of the 3 different categories of activity presented in a statement of cash flows.
Indeed, a statement of cash flows classifies cash receipts and payments into three categories of Operating, Investing, and Financing activities.
What are the three categories of activity?The three categories of activity into which the statement of cash flows is divided are:
Operating ActivityInvesting ActivityFinancing Activity.Some of the cash receipts and payments under these three categories are:
Operating Activities: Receipt of cash from customersPayments for materials from suppliers and vendorsCost of delivering raw materials and finished goodsPaying employees and managersPaying income taxesPayments or receipts of rent.Financing Activities:Receiving cash from debtholdersRepaying long-term debtsPaying interestCash receipts from stock issuancePaying dividends to stockholders.
Investing Activities:Receipts from investment loansPayments for investment loansReceipt from the sale of assetsReceipt from the sale of marketable securitiesPayment for the purchase of assetsPayment for the purchase of marketable securities.
Thus, the operating activities differ from the financing and investing activities because the latter are not the organization's core activities.
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