Which One of These Will Increase a Firm's Cash Balance

question 58

Multiple Choice

Which one of these will increase a firm's cash balance?

• A) An increase in inventory
• B) A decrease in accounts payable
• C) An increase in common stock
• D)An increase in new equipment

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Definitions:

Customer Profitability

An analysis to determine the financial contribution brought by a customer through their purchases minus the costs of servicing them.

Product Costs

The costs directly attributable to the creation of products, including materials, labor, and manufacturing overhead.

Distribution

The process of making a product or service available for the consumer or business user that needs it.

Customer Servicing

The provision of services to customers before, during, and after a purchase to enhance their satisfaction and loyalty.