What are the three sections of a cash flow statement?

The correct answer identifies the three sections of a cash flow statement as operating activities, investing activities, and financing activities. This framework provides a comprehensive view of a company's cash inflows and outflows over a specific period.

Operating activities encompass cash transactions related to the company's core business operations, such as receipts from sales of goods and services and payments made for operating expenses. This section is crucial because it reveals how much cash is generated or used by the business's primary activities.

Investing activities reflect the cash spent or received from the acquisition or sale of long-term assets, such as property, equipment, or investments in securities. This portion of the statement indicates how much the company is investing in its future growth.

Financing activities involve cash flows that result from transactions with the company's owners and creditors. This includes borrowing and repaying debt, issuing stock, and paying dividends. These activities are important for understanding how a business finances its operations and growth.

The other options do not pertain to the structure or content of a cash flow statement. Revenue components, costs, and fundamentals of accounting, while relevant to financial analysis, do not capture the flow of cash in a manner consistent with how cash flow statements are structured.