Cash flows directly related to production and sale of a firm's products and services are called ________.

Question

Quizplus · Accepted Answer

Cash flow from operating activities refers to the cash inflows and outflows directly related to a company's core operations, including the production and sale of its products and services. This includes cash received from customers, payments to suppliers and employees, and other expenses directly related to producing and delivering the company's goods or services. Cash flow from investment activities relates to the buying and selling of long-term assets such as property or equipment, while cash flow from financing activities involves the issuance or repurchase of stocks or bonds and payment of dividends. Cash flow from equity activities is not a recognized category of cash flow.

Cash Flows Directly Related to Production and Sale of a Firm's