(Appendix 10A) Which of the following items is least likely to be included in a cash budget?
A) Accounts receivable collections
B) Cash paid for amortization
C) Short-term borrowing
D) Long-term debt repayments

Question

Quizplus · Accepted Answer

Amortization is a non-cash expense that relates to the gradual charging to expense of the cost of an intangible asset over its useful life. Therefore, it is least likely to be included in a cash budget, which focuses on actual cash inflows and outflows.

(Appendix 10A) Which of the Following Items Is Least Likely