Which of the following best illustrates cash flow from operations?
A) The revenue from selling bread at a local bakery
B) The revenue from selling stocks by an insurance company
C) The revenue from new investors in a software start-up
D) The revenue from selling obsolescent trucks by a delivery company
E) The revenue from issuing stock by a financial management firm

Question

Quizplus · Accepted Answer

Cash flow from operations refers to the cash generated or used in a company's primary business activities. Revenue from selling bread at a local bakery is an example of cash flow from operations.

Options B, C, D, and E are not examples of cash flow from operations. Revenue from selling stocks, revenue from new investors, revenue from selling obsolescent trucks, and revenue from issuing stock are all related to financing or investing activities, not primary business activities.

Which of the Following Best Illustrates Cash Flow from Operations