CMA Part 2 Practice Questions - CMA Part 2 Certified Management Accountant - Strategic Financial Management Exam

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A company reports net income of $120,000, but its cash flow from operations is only $80,000. Which of the following could explain this difference?

Decrease in accounts receivable Increase in accounts payable Gain on sale of equipment Depreciation expense

Correct Answer:

Gain on sale of equipment

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