Which of the following is not a noncash item?
A) Goodwill
B) Amortization
C) Depreciation
D) Purchase of new equipment

Name: Which of the following is not a noncash item? A) Goodwill B) Amortization C) Depreciation D) Purchase of new equipment
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Question

Quizplus · Accepted Answer

Goodwill, amortization, and depreciation are all noncash items that affect the income statement but do not involve actual cash flow. The purchase of new equipment, however, is a cash transaction that affects the company's cash flow.

Which of the Following Is Not a Noncash Item