Which of the Following Would Cause an Inflow of Cash

question 120

Multiple Choice

Which of the following would cause an inflow of cash?

• A) Payment of a long-term bond
• B) Sale for cash of a short-term investment at its cost
• C) Payment of accounts payable
• D) Repurchase of common stock for cash
• E) Accrual of a dividend

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Definitions:

Account Payable

A liability account that records the amounts owed by a business to suppliers for goods or services purchased on credit.