Which of the following statements is more likely if cash and marketable securities increase by $5,000 during a period in which cash provided by operations increases by $1,000 and cash used by investments decreases by $500?
A) Cash provided by financing increases by $6,500.
B) Cash used by financing decreases by $1,000.
C) Debt increases by more than cash dividends paid.
D) Debt is reduced by more than cash dividends paid.

Question

Quizplus · Accepted Answer

Cash provided by financing increased. This could occur by increasing debt by a larger amount than the amount paid out in dividends.

Which of the Following Statements Is More Likely If Cash