Which of the following transactions does not affect cash during a period?
A) Write-off of an uncollectible account
B) Collection of an accounts receivable
C) Sale of treasury stock
D) Exercise of the call option on bonds payable

Question

Quizplus · Accepted Answer

Writing off an uncollectible account does not involve any cash inflow or outflow, so it does not affect cash during a period. The other transactions (B, C, and D) involve either an inflow or outflow of cash and thus affect the cash balance.

Which of the Following Transactions Does Not Affect Cash During