Asked by Roberta McGuire on Jul 23, 2024
Verified
An increase in long-term debt Is a source of cash.
Long-Term Debt
Debt that is due for repayment after more than one year's time, often used for significant investments.
Source Of Cash
A source of cash refers to any activity or transaction that brings money into a business or individual's possession, increasing cash flow.
- Pinpoint the cash inflows in short-term financial operations.
Verified Answer
QM
Quinn MenziesJul 29, 2024
Final Answer :
True
Explanation :
An increase in long-term debt means a company is borrowing more, which increases its cash inflow, thus being considered a source of cash.
Learning Objectives
- Pinpoint the cash inflows in short-term financial operations.
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