Year Roussakis Company's Operations Provided a Negative Net Cash Flow

question 44

Multiple Choice

year Roussakis Company's operations provided a negative net cash flow, yet the cash shown on its balance sheet increased.Which of the following statements could explain the increase in cash, assuming the company's financial statements were prepared under generally accepted accounting principles?

• A)The company repurchased some of its common stock.
• B)The company dramatically increased its capital expenditures.
• C)The company retired a large amount of its long-term debt.
• D)The company sold some of its fixed assets.
• E)The company had high depreciation expenses.

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Definitions:

Critical Issues

Significant, urgent problems or challenges that require immediate attention and action to avoid negative consequences.

Self-Perpetuating Board

A board of directors that has the authority to appoint its own members, often seen in nonprofit organizations, ensuring continuity and stability in governance.

New Members

Individuals who have recently joined an organization, group, or community, often bringing fresh perspectives and energy.

Selection Committee

A group of individuals tasked with the responsibility of making selections or decisions, often in contexts such as employment, awards, or grants.