An Increase of $100,000 in Inventory Would Result in A(n)

question 16

Multiple Choice

An increase of $100,000 in inventory would result in a(n)

• A) Decrease of net cash flow.
• B) Increase in net cash flow.
• C) Decrease in marketable securities.
• D) Increase in bonds payable.

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Definitions:

Large Denomination

Refers to currency notes or bonds that are issued in high face values, often preferred by investors seeking to transfer or store large amounts of value.

Time Deposits

Bank deposits that are held for a fixed term or period of time, typically offering higher interest rates than savings accounts.

CDs

Short for Certificates of Deposit, which are savings certificates with a fixed maturity date and specified fixed interest rate.

Money Supply

The total amount of monetary assets available in an economy at any given time, including cash, coins, and balances held in checking and savings accounts.