Asked by Bridget Parks on May 14, 2024

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Financing activities include receiving cash from issuing debt and receiving cash dividends from investments in other companies' stocks.

Financing Activities

Transactions and events where a business raises funds to support its operations and expansions, typically involving debt or equity.

Issuing Debt

The process by which a company or governmental entity raises funds by selling bonds, notes, or other financial instruments to creditors.

Cash Dividends

Payments made by a corporation to its shareholder members from its current or retained earnings.

  • Clarify the differences among operating, investing, and financing activities.
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LP
Liberty PerryMay 15, 2024
Final Answer :
False
Explanation :
Financing activities include receiving cash from issuing debt, but receiving cash dividends from investments in other companies' stocks is considered an investing activity, not a financing activity.