ENTREPRENEURSHIP

Detailed explanation-1: -In the cash flow statement, financing activities refer to the flow of cash between a business and its owners and creditors. It focuses on how the business raises capital and pays back its investors. The activities include issuing and selling stock, paying cash dividends and adding loans.

Detailed explanation-2: -Investing activities include purchases of long-term assets (such as property, plant, and equipment), acquisitions of other businesses, and investments in marketable securities (stocks and bonds).

Detailed explanation-3: -Anything to do with the movement of money, i.e., cash inflows and outflows, is a financial activity. Purchasing and selling assets or products, organizing accounts, and maintaining accounts, for example, are financial activities. Arranging loans, selling bonds or stocks are also financial activities.

Detailed explanation-4: -Financing activities include: Issuing and repurchasing equity. Borrowing and repaying short-term and long-term debt. This activity includes principal payments to lenders and vendors for most capital purchases, as well as the cost to issue debt.