Which of the Following Would Not Be a Cash Flow

question 15

Multiple Choice

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

• A)Issuance of common stock for cash.
• B)Borrowing cash on a long-term note payable.
• C)Collection of a cash dividend.
• D)Repayment of principal on a long-term note payable.

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Definitions:

Government Borrowing

The act of governments raising funds through the issuance of securities or bonds to finance public expenditure, leading to government debt.

Personal Income Taxes

Taxes imposed on individuals' income by the government, including wages, salaries, and investment earnings.

Federal Tax Revenues

The income earned by the government through all types of taxes, including income, payroll, and excise taxes, used to fund public services and operations.

Tax Freedom Day

A symbolic day representing when a nation's taxpayers have collectively earned enough income to pay the year's total tax bill.