Which of the following transactions is least likel

财务会计 已帮助: 时间:2024-11-08 12:55:14

Which of the following transactions is least likely to increase a company’s reported cash from operations?
A.Securitizing accounts receivable
B.Delaying payments made to suppliers
C.Using short-term debt to reduce an existing account payable

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题库:财会类考试,特许金融分析师(C,CFA一级

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2024-11-08 12:55:14

Ans:C.
Using short-term debt to pay down payables will have no effect on the cash from operations. Payables will decrease which decreases cash from operations, but short-term debt will increase, which is an offsetting increase in cash from operations, resulting in no net effect on cash from operations.

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