Cash Collected from Accounts Receivable Is Shown on the Cash

question 71

Multiple Choice

Cash collected from accounts receivable is shown on the cash flow statement as a(n) :

• A) investing activity
• B) financing activity
• C) operating activity
• D) either as an operating activity or as a financing activity

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Definitions:

Output Q₁

A specific quantity of goods or services produced by a firm or economy at a given time, indicated as "Q₁" to denote a particular level of output.

Output Q₃

Refers to a specific quantity of output, often used in economic models to represent production levels at a particular point.

Economies of Scale

Cost advantages reaped by companies when production becomes efficient, as the scale of operation and output increases.

Diseconomies of Scale

The phenomenon when a firm experiences increased costs per unit of output due to inefficiencies associated with scale of production, contrary to economies of scale.