The operating activities section is often believed to be the most important part of a statement of cash flows because
A. it gives the most information about how operations have been financed.
B. it shows the dividends that have been paid to shareholders.
C. it indicates a company's ability to generate cash from sales to meet current cash payments for goods or services.
D. it shows the net increase or decrease in cash during the period.
Ans: C. it indicates a company's ability to generate cash from sales to meet current cash payments for goods or services.
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