We can identify operating activities from income statement information and changes in
A)Long-term asset accounts.
B)Long-term liability accounts.
C)Current asset and current liability accounts.
D)Stockholders' equity accounts.

Question

Quizplus · Accepted Answer

Operating activities include transactions that involve current assets and liabilities, such as sales revenue, expenses, and changes in accounts receivable, inventory, accounts payable, and other similar accounts. Long-term asset and liability accounts and stockholders' equity accounts are related to investing and financing activities.

We Can Identify Operating Activities from Income Statement Information and Changes