Question

What characterizes Financing Activities?

a.

Purchase and sale of goods and services

b.

Changes in the investment portfolio

c.

Borrowings and activities resulting in changes in the size and composition of owners' capital

d.

Cash payments for operating expenses

Posted under IC 89 Management Accounting

Answer: (c).Borrowings and activities resulting in changes in the size and composition of owners' capital Explanation:Financing Activities are characterized as activities that result in changes in the size and composition of the owners' capital and borrowings of the entity.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What characterizes Financing Activities?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. How are Investing activities characterized?

View solution

Q. What are Operating Activities?

View solution

Q. What is the meaning of Cash Flows?

View solution

Q. What is the definition of Cash Equivalents?

View solution

Q. How is "Cash" defined?

View solution

Q. What does a Cash Flow Statement report?

View solution

Q. What is considered an application of working capital or funds?

View solution

Q. What are the outlined sources of working capital?

View solution

Q. What is the formula given for calculating Funds?

View solution

Q. What does "Fund" mean?

View solution

Q. How is the term "flow of funds" defined?

View solution

Q. What is the primary definition of a Fund Flow Statement?

View solution

Q. Apart from Balance Sheets and Profit & Loss Account, what additional data is needed for Cash Flow Statements preparation?

View solution

Q. What is the purpose of analyzing the Statement of Profit & Loss Account in the context of Cash Flow Statements?

View solution

Q. What documents and data are crucial for the preparation of Cash Flow Statements?

View solution

Q. According to Accounting Standard 3 (Revised), what does the treatment of cash flows of special items include?

View solution

Q. In the context of insurance business, what do Financing Activities involve?

View solution

Q. What defines Financing Activities?

View solution

Q. Which of the following is an example of a cash flow from Investing Activities?

View solution

Q. What is the primary focus of Investing Activities?

View solution
View All MCQs on IC 89 Management Accounting

Recommended Subjects

Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!

Waste Water Engineering

Navigate the challenges of wastewater treatment and management with our Waste Water...

Cost Accounting

Dive into the realm of Cost Accounting with our specialized category. Explore cost...

Molecular Biology

Dive into the intricate world of molecular biology with our specialized category....

Mechanical Engineering

Explore the world of Mechanical Engineering with our specialized category. Dive into...

Genetic Engineering

Unlock the potential of Genetic Engineering with our dedicated category. Explore gene...

Chemistry

Unlock the mysteries of chemistry with our Chemistry category. Delve into the...

Foundation Engineering

Master the principles of Foundation Engineering with our specialized category....

Analytical Instrumentation

Dive into the world of precise measurements with our Analytical Instrumentation...

Basic Chemical Engineering

Get a solid foundation in Chemical Engineering with our Basic Chemical Engineering...