Which of the Following Represents an Inflow of Cash

question 38

Multiple Choice

Which of the following represents an inflow of cash?

• A) A decrease in any liability
• B) Dividends paid
• C) Repurchase or retirement of stock
• D) An increase in any asset
• E) A decrease in any asset

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Definitions:

Mutual-Benefit Bailment

A contractual agreement where both the bailor and bailee receive benefits from the arrangement of temporarily transferring personal property.

Financing Statement

A document filed to give public notice of a security interest in collateral, providing information about the debtor, secured party, and collateral.

Proceeds

The amount of money received from a transaction, especially after selling an asset or completing a deal.

Uniform Commercial Code

A codification of the laws governing commercial transactions in the United States, designed to make interstate commerce more efficient.