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Classify Each Event Below

Question 149

Matching

Classify each event below

Premises:
________ Pay for interest on bank loan.
________ Paid salaries of employees.
________ Owner withdraws cash from the business for personal use.
________ Owner invested cash into the entity.
________ Collected cash on account and from cash customers.
________ Borrowed money from the bank.
________ Paid utilities for the current period.
________ Purchased equipment for cash.
Responses:
financing activity
investing activity
operating activity

Correct Answer:

________ Pay for interest on bank loan.
________ Paid salaries of employees.
________ Owner withdraws cash from the business for personal use.
________ Owner invested cash into the entity.
________ Collected cash on account and from cash customers.
________ Borrowed money from the bank.
________ Paid utilities for the current period.
________ Purchased equipment for cash.
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