Operating activities are both inflows and outflows of cash resulting from the external financing of a business.Financing activities are both inflows and outflows of cash resulting from the external financing of a business.

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Operating activities are inflows and outflows of cash resulting from a business's regular operations, while financing activities are inflows and outflows of cash resulting from a business's financing decisions, such as issuing debt or equity or paying dividends.

Operating Activities Are Both Inflows and Outflows of Cash Resulting