Question

activities are events that may affect revenues, expenses or cash flow but falls outside of the company's ordinary business.

• A. Operating
• B. Non-operating
• C. Financial
• D. Non-financial

Answer 1

The correct option is B Non-operating

Non-operating activities are events that may affect revenues, expenses or cash flow but falls outside of the company's ordinary business.

Examples of non-operating activities include:

Relocating the business, expenses caused by weather damage, acquiring another firm, buying or selling capital assets. etc.