Which of the following is an outflow of cash?

Question

Quizplus · Accepted Answer

The payment of cash dividends is an outflow of cash, as it involves giving money out to shareholders. A is not an outflow of cash, as profitable operations may increase the company's cash balance. B is not necessarily an outflow of cash, as the sale of equipment may result in either an inflow or outflow depending on whether the equipment was sold for more or less than its book value. C is not an outflow of cash, as the sale of common stock involves receiving cash from investors.

Which of the Following Is an Outflow of Cash