When Used in the PMT Function, the Comma in 1,000

question 146

Multiple Choice

When used in the PMT function, the comma in 1,000 is interpreted as ____.

• A) the beginning of a new argument
• B) the end of a new argument
• C) part of the number
• D) none of the above

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Definitions:

Net Cash Flow

The amount of cash that is generated or lost by a business in a given period, considering cash inflows and outflows from operating, investing, and financing activities.

Indirect Method

A cash flow statement approach that adjusts net income for the changes in balance sheet accounts to calculate the cash from operating activities.

Cash Flows

Cash Flows refer to the inflows and outflows of cash and cash equivalents, indicating a company's ability to generate funds to support its operations and finance its investments.

Direct Method

A way of reporting cash flows from operating activities by listing major categories of gross cash receipts and payments.