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Which of the following is NOT a source of cash from financing activities? a. repayment of...

Which of the following is NOT a source of cash from financing activities?

a. repayment of long-term debt

b. proceeds from issuance of common stock

c. proceeds for long-term borrowing

d. both a and c

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Answer #1

The correct answer is a.Repayment of long-term debt

Financing activities are related to raising and repayment of capital funds.

Sources of cash are those activities which lead to inflow of funds. Uses of cash are those activities which lead to outflow of funds.

b. and c. will lead to inflow of cash while a will lead to outflow of cash

Hence, the correct answer is a.

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