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Match List I with List II

List IList II
A. Operating ActivitiesI. Issue of shares
B. Investing ActivitiesII. Bank Balance
C. Financing ActivitiesIII. Sale and purchase of goods and services
D. Cash and cash equivalentIV. Buying of fixed assets

Choose the correct answer from the options given below:

Solution

✅ Correct Option: 1

Operating activities relate to sale and purchase of goods and services (A-III). Buying of fixed assets falls under investing activities (B-IV). Issue of shares is a financing activity (C-I). Bank balance is a part of cash and cash equivalents (D-II). Hence the correct matching is A-III, B-IV, C-I, D-II.

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