Which of the Following Represents a Source of Cash

question 14

Multiple Choice

Which of the following represents a source of cash?

• A)A decrease in accounts payable
• B)A decrease in accounts receivable
• C)Payment of dividends
• D)An increase in inventories

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Definitions:

Initial Public Offering (IPO)

The process by which a private company offers shares of stock to the public for the first time to raise capital.

Underwriter

A professional or company that assesses and accepts the risk of another party, often used in insurance and securities issuing.

Initial Public Offering (IPO)

The first sale of stock by a company to the public, marking the transition from a private entity to a public company.