All Else Equal, If a Firm Invests an Additional $100,000

question 41

Multiple Choice

All else equal, if a firm invests an additional $100,000 in inventory during the year,

• A)cash flow from investing activities will increase by $100,000.
• B)cash flow from operating activities will decrease by $100,000.
• C)cash flow from investing activities will decrease by $100,000.
• D)cash flow from operating activities will increase by $100,000.

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Definitions:

Esteem and Status

Pertains to the perception of an individual's or group's value and position within a social hierarchy.

Referent Power

A form of influence based on the charismatic appeal or personal attraction one has over others.

Expert Power

Expert power is the influence one possesses due to their high level of skills, knowledge, or expertise in a particular area, which can impact others' behavior or decisions.

Trustworthy

describes the quality of being reliable, honest, and able to be trusted.