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Vaughn Corporation had the following activities in 2025. 1. Payment of accounts payable. What activity is missing in this list?

a) Sale of inventory
b) Purchase of equipment
c) Issuance of bonds
d) Receipt of cash from customers

1 Answer

2 votes

Final answer:

The question does not specify which activity is missing for Vaughn Corporation, as it could be a sale of inventory, a purchase of equipment, issuance of bonds, or receipt of cash from customers, each representing different business activities such as operating, investing, or financing activities.

Step-by-step explanation:

The student is asking about activities related to Vaughn Corporation in 2025, particularly the payment of accounts payable. There seems to be confusion about what additional type of activity might be missing from their list. The options provided are all typical business transactions: sale of inventory, purchase of equipment, issuance of bonds, and receipt of cash from customers. Each of these represents a different category of business activities, such as operating, investing, and financing activities.For instance, sale of inventory and receipt of cash from customers are operating activities because they are part of the corporation's primary business operations. Purchase of equipment is an investing activity as it involves the acquisition of long-term assets. Issuance of bonds is a financing activity, which relates to actions that affect the size and composition of the equity and borrowings of the corporation. The question does not specify which particular activity is missing, as it could be any of them depending on the broader context of the corporation's activities in 2025.

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