Which of the following represents an inflow of cash to my company?

Select one:

A. I pay an account payable that is on my balance sheet

B. I decrease my depreciation expense

C. My accounts receivable decrease by $10,000

D. I buy back stock issued by my company

E. None of the items listed will result in an inflow of cash

Which statement below is correct or true?

Select one:

A. Compared to straight-line depreciation, accelerated forms of depreciation generally result in lower expenses and higher net income in the early stages of a depreciable assets life.

B. If I use straight-line depreciation and I increase the number of years I will depreciate my depreciable assets without changing my salvage value estimate, my annual depreciation expense for that item will decrease.

C. Compared to straight-line depreciation, accelerated forms of depreciation are hardly ever used in the financial records reported to the IRS for tax purposes.

D. The depreciation methods I use for tax purposes must be the same as the methods I use in the financial records I send to the SEC.

E. Depreciation expense represents a tremendous cash inflow item. Many companies fail because they cannot afford their depreciation expenses.