Question
Indicate the impact of the following corporate actions on cash, using the letter I for an increase, D for a decrease, or N when no
Indicate the impact of the following corporate actions on cash, using the letter I for an increase, D for a decrease, or N when no change occurs.
A dividend is paid with funds received from a sale of debt.
Real estate is purchased and paid for with short-term debt.
Inventory is bought on credit.
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A short-term bank loan is repaid.
Next year's taxes are prepaid.
Preferred stock is repurchased.
Sales are made on credit.
Interest on long-term debt is paid.
Payments for previous sales are collected.
The accounts payable balance is reduced.
A dividend is paid.
Production supplies are purchased and paid for with a short-term note.
Utility bills are paid.
Cash is paid for raw materials purchased for inventory.
Marketable securities are purchased.
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