Stimpleton Company engages in the following cash payments: $$\begin{array} { l r }
\text { Purchase equipment } & \$ 2,000 \
\text { Pay rent } & 500 \
\text { Repay loan to the bank } & 5,000 \
\text { Pay workers' salaries } & 1,000
\end{array}$$ What is the total amount of cash paid for operating activities?

Question

Stimpleton Company engages in the following cash payments: $$\begin{array} { l r } 
\text { Purchase equipment } & \$ 2,000 \
\text { Pay rent } & 500 \
\text { Repay loan to the bank } & 5,000 \
\text { Pay workers' salaries } & 1,000
\end{array}$$ What is the total amount of cash paid for operating activities?

Quizplus · Accepted Answer

Operating activities include payments for rent and salaries, totaling $500 + $1,000 = $1,500.

Stimpleton Company Engages in the Following Cash Payments What Is the Total Amount of Cash Paid for Operating