A Decrease in Merchandise Inventory Is

question 118

Multiple Choice

A decrease in merchandise inventory is:

• A)a use of cash under operating activities.
• B)a source of cash under operating activities.
• C)not reported on the statement of cash flows.
• D)a source of cash under investing activities.

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Definitions:

Tortfeasor

A person or party that has committed a tort, which is a wrongful act leading to legal liability.

Intentional Tort

An Intentional Tort is a civil wrong resulting from an intentional act on the part of the tortfeasor (wrongdoer) that causes harm to another.

Felony

A serious crime, typically one punishable by imprisonment for more than one year or by death.

Negligence

A failure to exercise the care that a reasonably prudent person would exercise in similar circumstances, leading to causing harm or damage.