Under which of the following would a company recognize income but have no cash flow in the current period?

1. Sell goods on credit in the current period that were purchased and paid for in the prior period

2. Sell goods for cash in the current period that were purchased and paid for in the prior period

3. Sell goods on credit in the current period that were purchased and paid for in the current period

4. Sell goods on credit in the prior period and collect those sales in the current period The goods sold were purchased in the prior period and paid for in the current period