Which of the following transactions does not result in either a cash inflow or a cash outflow?

A) A company purchased some of its own stock from a stockholder.
B) Amortization of a patent.
C) Payment of a cash dividend.
D) Sale of equipment at book value.

Question

sydnee sexton · Accepted Answer

Final Answer : B, Explanation :  Amortization is a non-cash expense and does not result in a cash inflow or outflow. The other options either result in a cash inflow (selling equipment) or a cash outflow (purchasing stock or paying a dividend).

Which of the following transactions does not result in either a cash inflow or a cash outflow?

A) A company purchased some of its own stock from a stockholder.
B) Amortization of a patent.
C) Payment of a cash dividend.
D) Sale of equipment at book value.

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Learning Objectives

Learning Objectives

Related questions

Which of the following transactions does not result in either a cash inflow or a cash outflow?A) A company purchased some of its own stock from a stockholder.B) Amortization of a patent.C) Payment of a cash dividend.D) Sale of equipment at book value.

Definitions

Learning Objectives

Learning Objectives

Related questions

Which of the following transactions does not result in either a cash inflow or a cash outflow?

A) A company purchased some of its own stock from a stockholder.
B) Amortization of a patent.
C) Payment of a cash dividend.
D) Sale of equipment at book value.