Asked by Leslie Katie on Jun 25, 2024
Verified
Fixed asset sale represents an increase in cash.
Fixed Asset Sale
The process of selling long-term assets, such as property, plant, and equipment, for cash or other compensation.
Cash Increase
A rise in the amount of cash and cash equivalents held by a business.
- Assess the consequences of diverse economic actions on the cash reserves of a firm.
Verified Answer
TP
Tobio PolygonJun 28, 2024
Final Answer :
True
Explanation :
When a fixed asset is sold, the company receives cash or equivalents in exchange, thus increasing its cash balance.
Learning Objectives
- Assess the consequences of diverse economic actions on the cash reserves of a firm.