Which One of the Following Is Generally Used as the Basis

question 89

Multiple Choice

Which one of the following is generally used as the basis for computing the cash flow per share?

• A)operating cash flow
• B)investment cash flow
• C)financing cash flow
• D)net cash increase
• E)retained cash earnings

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Definitions:

Just-In-Time

A production strategy that aims to reduce times within the production system as well as response times from suppliers and to customers by receiving goods only as they are needed in the production process, thereby reducing inventory costs.

Work in Process Inventory

Items that are in the process of being manufactured but are not yet complete, often tracked for cost accounting purposes.

Cost of Goods Sold

The straight costs associated with producing the goods that a company sells, which include labor and materials.

Days' Payable Outstanding

A financial metric that calculates the average number of days it takes a company to pay its invoices from trade creditors.