Transactions that represent inflows of funds produce

A. credit Balance

B. liability

C. debit Balance

D. none of all of these

Answer: Option A

Solution(By Examveda Team)

Transactions that represent inflows of funds produce credit balance. Credit balance is the amount of borrowed funds, usually from the broker, deposited in the customer's margin account following the successful execution of a short sale order. A margin account with only short positions will show a credit balance.