A sale of used equipment for cash produces a cash inflow from investing activities.

Name: A sale of used equipment for cash produces a cash inflow from investing activities.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

When equipment is sold for cash, it is considered a cash inflow from investing activities because it involves the sale of a long-term asset (equipment) which is classified as an investing activity in the statement of cash flows.

A Sale of Used Equipment for Cash Produces a Cash