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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Learning Objectives
- Clarify the differences among operating, investing, and financing activities.
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