Use the Statement of Cash Flows to Evaluate a Company's

question 115

Essay

Use the statement of cash flows to evaluate a company's liquidity and solvency.

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Definitions:

Listed Stocks

Shares of companies that are publicly traded on a stock exchange, making them available for purchase by investors.

Privately Held Stocks

Shares that are owned by private investors, not available for trading by the general public on stock exchanges.

NASDAQ

A worldwide online market for the purchase and sale of securities, in addition to being the reference index for technology stocks in the United States.

NYSE

The New York Stock Exchange, one of the largest stock exchanges in the world, where stocks of publicly-held companies are bought and sold.