What are the classifications of the statement of cash flows (SOCF) for non-profit organizations?

The classification of the statement of cash flows (SOCF) for non-profit organizations is based on the activities that generate cash inflows and outflows. The correct classification consists of cash flows from operating, financing, and investing activities.

Cash flows from operating activities include the primary activities of the non-profit organization, such as contributions, grants received, and payments made for expenses. These reflect the organization's ability to generate cash through its core mission-related activities.

Financing activities pertain to cash flows related to funding the organization's operations through resource mobilization, which may include receipts from donations or grants that support these financial operations. This classification helps in understanding how the organization finances its activities.

Investing activities involve cash flows from the acquisition and disposal of long-term assets, such as property or equipment, essential for supporting the organizational mission.

This classification framework allows users of the financial statements to assess the liquidity, financial flexibility, and sustainability of the non-profit organization. Other options do not align with the standard cash flow classifications recognized in financial reporting for non-profits, thus highlighting why the correct answer focuses on operating, financing, and investing activities.