Which of the following is an example of an investing activity?
A) Purchasing a building
B) Obtaining a bank loan
C) Paying taxes to the government
D) Producing goods and services

Question

Quizplus · Accepted Answer

Purchasing a building is an example of an investing activity because it involves spending money to acquire an asset (the building) that is expected to provide future financial benefits (such as rental income or appreciation in value). Obtaining a bank loan and paying taxes are examples of financing and operating activities, respectively. Producing goods and services is an example of an operating activity.

Which of the Following Is an Example of an Investing