Problem 1: What is considered "cash"? How does this differ from income? Please explain
Problem 2: Is it possible for a company to have positive earnings (Income Statement) and negative cash-flow? Please explain.
Problem 3: How is a credit card payment (assuming standard retailer/customer relationship) recorded in the general journal? When does the transaction (sale of goods or services) get recognized? And how does delayed payment by the customer on the credit card impact the retailer that generated the transaction?
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