Which of the Following Would Result When a Company Purchases

question 135

Multiple Choice

Which of the following would result when a company purchases a factory building using cash?

• A)A noncurrent asset and an investing cash flow are created.
• B)A noncurrent asset and a financing cash flow are created.
• C)A current asset and an investing cash flow are created.
• D)A current asset and a financing cash flow are created.

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Definitions:

Democratic

Pertaining to or characterized by the principles of democracy, involving fair and equal participation and representation of the people in the decision-making process.

Laissez-Faire

A leadership or management style characterized by a minimal amount of direct supervision, allowing individuals or teams considerable freedom in their work.

Transactional Leader

A leadership style focused on the exchange between leader and followers, where compliance is exchanged for specified rewards.

Transformational Leader

A leadership approach that causes change in individuals and social systems, by creating a vision to guide the change through inspiration, and executing the change in tandem with committed members of a group.