Which of the Following Statements Regarding the Inclusion of Liabilities

Multiple Choice

Which of the following statements regarding the inclusion of liabilities on the statement of cash flows is true?

A) All current liabilities affect the operating activities section.
B) Long-term liabilities generally affect the investing activities section.
C) A decrease in a current liability from the beginning to the end of the year is accompanied by a decrease of cash.
D) A decrease in a current liability from the beginning to the end of the year is accompanied by an inflow of cash.