Cash flows from operating activities include all of the following except:
A)a purchase of land.
B)collections from customers on account.
C)payments to employees for hours worked.
D)receipt of dividends.

Question

Quizplus · Accepted Answer

Cash flows from operating activities involve transactions related to the day-to-day operations of a company, such as sales, expenses, and collections from customers. The purchase of land is not considered an operating activity, but rather an investing activity. Therefore, option A is the correct answer. The other options listed are all examples of cash flows from operating activities.

Cash Flows from Operating Activities Include All of the Following