When Cash Flow Is Temporarily Depressed Due to Strikes, Litigation

question 71

True/False

When cash flow is temporarily depressed due to strikes, litigation, warranty claims, or other one-time events, it is generally safe to assume that cash flow will recover in the near term.

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Definitions:

EU

The European Union, a political and economic union of 27 member states that are located primarily in Europe, with its own legislative bodies to enact policies and laws applicable across member states.

Sherman Act

A landmark federal statute passed by Congress in 1890 that prohibits certain business activities considered to be anti-competitive, and requires the federal government to investigate and pursue trusts.

U.S. Antitrust Laws

Laws implemented to prevent anticompetitive practices, monopolies, and to promote fair competition for the benefit of consumers.

Foreign Corrupt Practices Act

A U.S. law passed in 1977 aimed at preventing companies from bribing foreign officials to gain a business advantage.