Lincoln Company engaged in this transaction: Collected accounts receivable.
Indicate which section,if any,the above transaction would appear in,or relate to,on a statement of cash flows.
A)Does not represent a cash flow.
B)Operating activities section.
C)Financing activities section.
D)Investing activities section.

Question

Quizplus · Accepted Answer

Collecting accounts receivable is considered a cash inflow from operating activities on the statement of cash flows. This is because it represents cash received from the company's primary operations.

Lincoln Company Engaged in This Transaction: Collected Accounts Receivable