Question : Cash received from trade receivable Rs. 20,000; would result in inflow/outflow/no flow of Cash and Cash Equivalents:

Option 1: Inflow

Option 2: outflow

Option 3: No flow

Option 4: None of the above


Team Careers360 17th Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Inflow


Solution : Answer = Inflow of cash

Cash received from trade receivables of Rs. 20,000 would result in an inflow of cash and cash equivalents. This cash inflow represents the collection of outstanding receivables, increasing the company's available cash and cash equivalents.
Hence, the correct option is 1.

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