Dividend received for a trading (non financing) organization is.............
Answer & explanation
Correct answer: option 2
The correct answer is option 2- Investing activity.
Dividend received for a trading (non financing) organization is Investing activity.
Dividend received is generally classified under Investing Activities because it represents cash inflows from investments (e.g., dividends received from investments in shares or securities). Even though dividends are part of a company's income, the receipt of dividends is tied to the company's investment activities, which is why it's categorized as an investing activity.