Which of the following actions can be considered a source of cash when constructing a statement of cash flows?
A)Decrease in equity
B)Decrease in accounts payable
C)Increase in inventory
D)Increase in long-term bonds
E)Increase in fixed assets

Question

Quizplus · Accepted Answer

An increase in long-term bonds is considered a source of cash because it indicates that the company has issued more bonds, thereby receiving cash in exchange.

Which of the Following Actions Can Be Considered a Source