Operating activities are activities that an organization employs to create net income and generate cash flows. Examples of operational activities include cash earned from the sale of products and cash spent on items since sales and costs are included in the net income. Cash flow from investing activities refers to the movement of cash by the business when investing in assets.
They include property, structures, machinery, and other investment assets, along with revenues from the sale of structures, machines, and other assets. Cash flows from financing activities occur when a business borrows funds to raise or pay off debt. Income from the sale of financial products like notes, revenues from the release of capital stock, dividend payments, receivables, and the purchase of treasury stock are all examples of cash receipts.