Cash paid for interest is considered a(n) operating cash flows activity on the statement of cash flows.
The amount of cash generated by a company's normal business operations is measured as operating cash flow (OCF). Operating cash flow indicates whether a company can generate enough positive cash flow to sustain and grow its operations; otherwise, external financing for capital expansion may be required. The cash impact of a company's net income (NI) from its primary business activities is represented by operating cash flow. The first section of the cash flow statement is operating cash flow, also known as cash flow from operating activities.
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