Which of the Following Transactions Would Create an Increase in Cash

question 54

Multiple Choice

Which of the following transactions would create an increase in cash from a financing activity?

• A)Issuing shares of common stock to stockholders in exchange for cash.
• B)Selling a short-term stock investment in exchange for cash.
• C)Selling used equipment,which was a part of property and equipment,for cash.
• D)The payment of an account payable.

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Definitions:

Smooth Muscle

A type of muscle tissue which is not under conscious control, found in the walls of internal organs such as the stomach, intestines, and blood vessels.

Goose Bumps

The phenomenon where the skin appears to have goosebumps due to the erection of hairs, typically caused by cold or emotional factors.

Left Ventricle

The Left Ventricle is one of the four chambers of the heart, responsible for pumping oxygenated blood through the aorta to the rest of the body.

Red Blood Cell Count

A measure of the number of red blood cells in a volume of blood, indicative of the body's oxygen-carrying capacity.