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2. Which one of the following transactions is a source of cash? A. granting credit to a customer B. purchasing new machinery C. making a

2. Which one of the following transactions is a source of cash?

A. granting credit to a customer

B. purchasing new machinery

C. making a payment on a bank loan

D. purchasing inventory

E. accepting credit from a supplier

3. Which TWO of the following transactions represent uses of cash?

A. Collecting a receivable

B. Increasing inventory

C. Obtaining a bank loan

D. Issuing common stock

E. Paying a supplier for previous purchases

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