Use the table for the question(s)below.
-Consider the above statement of cash flows. Which of the following is true of AOS Industries' operating cash flows?
A)It charged more on its accounts payable than it paid back.
B)It sold more inventory than it bought.
C)It collected more cash from its customers than they charged.
D)All of the above are true.

Question

Use the table for the question(s)below. 
-Consider the above statement of cash flows. Which of the following is true of AOS Industries' operating cash flows?
A)It charged more on its accounts payable than it paid back. 
B)It sold more inventory than it bought. 
C)It collected more cash from its customers than they charged. 
D)All of the above are true.

Quizplus · Accepted Answer

All the options provided are indicators of positive operating cash flow. Charging more on accounts payable than paying back, selling more inventory than buying, and collecting more cash from customers than charged, all contribute to an increase in operating cash flow.

Use the Table for the Question(s)below