Final Answer:
The three-step analysis to determine cash provided or used by investing activities includes:
a) Purchasing equipment
b) Selling long-term investments
c) Acquiring another company
Step-by-step explanation:
The three-step analysis to determine cash provided or used by investing activities involves evaluating various financial transactions related to investments. Purchasing equipment (a), selling long-term investments (b), and acquiring another company (c) are all activities that fall under investing activities and impact the cash flow of a business.
Purchasing equipment involves a cash outflow, as it requires an expenditure of funds to acquire the asset. Selling long-term investments generates cash inflow, as it involves converting investments into cash. Acquiring another company typically involves a significant cash outflow, as it requires payment for the acquisition.
However, declaring dividends (d) is not a part of investing activities but falls under financing activities. When dividends are declared, it represents a distribution of profits to shareholders and does not directly impact cash provided or used by investing activities.
In summary, the correct activities to check for the three-step analysis related to investing activities are a) Purchasing equipment, b) Selling long-term investments, and c) Acquiring another company.