Operating activities include all of the following EXCEPT
A) collections of accounts receivable.
B) payment of tax expense.
C) payment of dividends.
D) payment of interest expense.

Question

Quizplus · Accepted Answer

Operating activities are transactions related to the primary activities of a company, such as sales and expenses. Payment of dividends is a financing activity and not related to operating activities. The other options (collections of accounts receivable, payment of tax expense, payment of interest expense) are all examples of operating activities.

Operating Activities Include All of the Following EXCEPT