Which one of the following is a source of cash?
A) increase in accounts receivable
B) decrease in notes payable
C) decrease in common stock
D) increase in inventory
E) increase in accounts payable

Question

Quizplus · Accepted Answer

An increase in accounts payable indicates that a company is purchasing goods or services on credit, which increases its cash position because it is using supplier credit instead of immediate cash outflows.

Which One of the Following Is a Source of Cash