braxton corp. was organized on january 1 to operate a limousines service to and from the airport. for each of the following business activities, select whether it is a financing, investing or operating activity.

Investing activity refers to income or expenditure on long-term assets such as equipment and facilities, while financing activity refers to the issuance of bonds, the redemption of bonds, and the sale of shares between a company and its owners and creditors. , or cash flows from activities such as stock buybacks. Fundraising activities include the issuance and repurchase of shares. Underwriting and repaying short-term and long-term debt.

This activity includes principal payments to lenders and sellers of most capital purchases and costs of issuing debt instruments. Investing activities include purchasing physical assets, investing in securities, or selling securities or assets. Negative cash flow from investing activities may not be a bad sign if management is investing in the long-term health of the company. When a company borrows money, it is a fundraising activity. There are also inflows from financing activities, such as borrowing and selling common stock.

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