Which of the Following Factors Could Explain Why Michigan Energy's

question 81

Multiple Choice

Which of the following factors could explain why Michigan Energy's cash balance increased even though it had a negative cash flow last year?

• A)The company sold a new issue of bonds.
• B)The company made a large investment in new plant and equipment.
• C)The company paid a large dividend.
• D)The company had high depreciation expenses.
• E)The company repurchased 20% of its common stock.

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Definitions:

Lawsuit

is a legal action by one party against another in a court of law, typically to seek redress for a wrong.

Four Years

A period of time equivalent to 48 months or 1,460 days, often referenced in contexts like terms of office, contracts, or warranties.

Two Years

A time period equivalent to 24 months or 730 days, often used as a standard time frame for certain agreements, warranties, or limitations periods.

Magnuson-Moss Act

Federal legislation in the United States that governs warranties on consumer products, aimed at protecting consumers from deceptive warranty practices.