Which of the following is true regarding the statement of cash flows?

A) Financing activities for corporations include lending money and buying shares.
B) Investing activities involve collecting the necessary funds to operate the business.
C) The purchase of equipment is an example of a financing activity.
D) Revenues are increases in economic resources that result from a business's operating activities.

Statement Of Cash Flows

A financial report that provides aggregate data regarding all cash inflows and outflows a company receives from its operational, investing, and financing activities.

Financing Activities

Transactions and events where cash is raised for, or repaid to, shareholders and creditors, typically including issuing and redeeming bonds, shares, and making loan repayments.

Investing Activities

Transactions involving the purchase and sale of long-term assets and other investments, not including cash equivalents.