Which One of the Following Is a Source of Cash

question 27

Multiple Choice

Which one of the following is a source of cash?

• A) decrease in accounts receivable
• B) decrease in common stock
• C) decrease in long-term debt
• D) decrease in accounts payable
• E) increase in inventory

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Definitions:

Customers

Individuals or entities that purchase goods or services from a business, playing a crucial role in its sustainability.

Suppliers

Entities or individuals that provide goods or services to another entity, typically a company, under agreed terms and conditions.

Sales Volume

The total number of units of a product or service sold over a specific period of time, often used to measure a company’s performance.

Financial Records

Documents and files which capture all financial transactions of a business or individual.