If Operating Cash flOw Is Negative, Then __________________

question 218

Multiple Choice

If operating cash flow is negative, then __________________.

• A) The firm is bankrupt.
• B) The firm can pay no dividends.
• C) Cash flow to bondholders must be negative.
• D) Cash flow to stockholders must be positive.
• E) Cash flow from assets may be positive.

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Definitions:

Highest Success Rate

Refers to the scenario or method that achieves the desired outcomes or objectives most consistently over others.

Lowest Amount

The minimum quantity or degree of something, often referring to the least amount of money or resources required.

Growth Strategy

Plans and actions aimed at increasing the scale and scope of a business's operations to drive higher profits and market share.

Market Penetration

A growth strategy where a company aims to increase sales of existing products or services in its current markets, often through competitive pricing, advertising, and promotions.