What Is the Impact on the Cash Flow Statement from an Increase

question 62

Multiple Choice

What is the impact on the cash flow statement from an increase in short-term notes receivable,assuming the indirect method is used?

• A)A decrease in the cash flow from operating activities
• B)An increase in the cash flow from operating activities
• C)An increase in the cash flow from financing activities
• D)An increase in the cash flow from investing activities

---

Definitions:

Central Bank

The primary monetary authority of a country, which manages the nation's currency, money supply, and interest rates.

Deficits

Financial shortfalls that occur when an organization's, typically a government's, expenditures surpass its revenues within a specific time frame.

Inflation Risk

The possibility that the value of assets or income will decrease as inflation shrinks the purchasing power of a currency.

Rate of Return

The net gain or loss on an investment over a specified time period, expressed as a percentage of the investment's initial cost.