A business using cash to expand by purchasing land and a building is an example of an operating activity.

Name: A business using cash to expand by purchasing land and a building is an example of an operating activity.
Brand: Quizplus
Rating: 4.8 (30 reviews)

Question

Quizplus · Accepted Answer

The purchase of land and a building is a investing activity, as it involves acquiring long-term assets for the business. Operating activities are related to the day-to-day operations of the business, such as sales, purchasing inventory, and paying employees.

A Business Using Cash to Expand by Purchasing Land and a Building