Which of the following would cause an inflow of cash?
A) Payment of a long-term mortgage.
B) Sale of an asset for cash at less than its book value.
C) Payment of accounts payable.
D) Purchase of inventory for debt.

Question

Quizplus · Accepted Answer

The sale of an asset for cash, even at less than its book value, directly increases the company's cash balance, representing an inflow of cash.

Which of the Following Would Cause an Inflow of Cash