Other things held constant,which of the following actions would increase the amount of cash on a company's balance sheet?
A) The company repurchases common stock.
B) The company pays a dividend.
C) The company issues new common stock.
D) The company gives customers more time to pay their bills.
E) The company purchases a new piece of equipment.

Question

Quizplus · Accepted Answer

Issuing new common stock increases a company's cash because it receives money from investors in exchange for shares of its stock.

Other Things Held Constant,which of the Following Actions Would Increase