A decrease in accounts receivable from year one to year two:

A) operating activities section
B) investing activities section
C) financing activities section
D) does not represent a cash flow

ASPE

Accounting Standards for Private Enterprises; a set of accounting standards for private companies in Canada, focusing on simplicity and cost-effectiveness.

Accounts Receivable

Accounts receivable represents money owed to a company by customers for products or services delivered but not yet paid for.

Operating Activities

Activities that relate to a company’s primary business operations, including revenue and expense transactions affecting net income.