Operating Activities
Cash Generated by Daily Operations
Operating activities include the primary revenue-producing activities of a business. These transactions affect net income and generally involve current assets and current liabilities.
- Cash collected from customers.
- Cash paid to suppliers.
- Cash paid to employees.
- Cash paid for operating expenses.
- Interest received.
- Interest paid.
- Income taxes paid.
Summary
Operating activities reflect cash generated from a company's core business operations.
