Business Activities

Question 1

Financing activities

Answer 1

Inflows: issuing shares, taking out a loan

Outflows: paying dividends, repurchasing shares, repaying loans

Question 2

Investing activities

Answer 2

Inflows: proceeds from selling long-lived assets, proceeds from selling shares of other companies

Outflows: buying long-lived assets, buying shares of other companies

Question 3

Operating activities

Answer 3

Inflows: Revenues, collection of receivables, sale of service or goods

Outflows: expenses, payment if payables, purchase of inventory and supplies