Which of the following items should a company report directly in its monthly cash budget?

Question

Quizplus · Accepted Answer

Cash proceeds from selling one of its divisions are a direct inflow of cash for the company and should be reported in its monthly cash budget. Depreciation expense, accrued interest on zero coupon bonds, and new shares issued in a stock split do not directly impact the company's cash balance, and therefore should not be included in the cash budget.

Which of the Following Items Should a Company Report Directly