Cash and payments received from customers would be classified on the statement of cash flows as which of the following?
A) cash flows from financing activities
B) cash flows from investing activities
C) revenue
D) cash flows from operating activities

Question

Quizplus · Accepted Answer

Cash and payments received from customers are part of a company's operating activities, as they relate to the day-to-day operations of the business. Cash flows from financing activities involve raising or repaying capital, while cash flows from investing activities involve the acquisition or sale of long-term assets. Revenue is reported on the income statement, but does not directly impact the statement of cash flows.

Cash and Payments Received from Customers Would Be Classified on the Statement