Which of the Following Would Not Be a Cash Inflow

question 34

Multiple Choice

Which of the following would not be a cash inflow from financing activities?

• A) Cash from issuing common stock.
• B) Cash from issuing bonds.
• C) Cash from issuing preferred stock.
• D) Cash from the sale of stock of a supplier.

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Definitions:

Shareholder

An individual or organization that owns one or more shares of stock in a public or private corporation, thus holding a portion of the company's ownership.

Corporate Charter

A corporate charter, also known as articles of incorporation, is a legal document that establishes a corporation, outlining its structure, objectives, and the rules governing its operation.

Authorized

This term indicates that permission has been given by a relevant authority or person allowing specific actions or activities.

Treasury Stock

Shares that were once issued and outstanding but were subsequently reacquired by the issuing company and are held in the company’s treasury.