Arrange following in correct order.
(A) Cash and cash equivalents
(B) Investing activity
(C) Operating Activity
(D) Financing activity
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 4
The correct answer is option 4- (C), (B), (D), (A).
(C) Operating Activity
(B) Investing activity
(D) Financing activity
(A) Cash and cash equivalents
This is the correct sequence of preparing cash flow statement-
(I) Cash flows from operating activities
(II) Cash flows from investing activities
(III) Cash flows from financing activities
Net increase (decrease) in cash and cash equivalents (I+II+III)
+ Cash and cash equivalents at the beginning
= Cash and cash equivalents at the end.