Which of the following is not a source of cash?
A)Dividends received on investment
B)Borrowing $5,000 on short-term note
C)Gain on sale of warehouse
D)All of these answer choices are sources of cash

Question

Quizplus · Accepted Answer

The gain on sale of warehouse is not a source of cash, but a non-cash transaction that increases net income on the income statement. The other choices listed are all sources of cash. Dividends received on investment bring in cash, borrowing on a short-term note is a way to acquire cash, and the gain from the sale of an asset brings in cash from the buyer.

Which of the Following Is Not a Source of Cash