Which balance sheet accounts are most affected by financing activities?

Question

Quizplus · Accepted Answer

Financing activities primarily affect long-term liabilities and shareholders' equity as they involve obtaining or repaying long-term loans, issuing or buying back of stocks, payment of dividends, and other long-term financial obligations. Current assets and current liabilities are more affected by operating activities, while long-term assets are affected by investing activities.

Which Balance Sheet Accounts Are Most Affected by Financing Activities