Which of the following is a use of cash?
A)Exchanging old auto for new auto and taking a note for sales price due
B)Paying employees' monthly payroll
C)Issuing long-term bonds
D)Writing off an uncollectible account

Question

Quizplus · Accepted Answer

Paying employees' monthly payroll requires the use of cash as it involves disbursing funds for the purpose of the company's operational expenses. The other choices do not involve the use of cash directly.

Which of the Following Is a Use of Cash