Which of the Following Is Not a Component of the Equity

question 19

Multiple Choice

Which of the following is not a component of the equity valuation cash flow?

• A)net operating profit after taxes
• B)change in net operating working capital (without surplus cash)
• C)capital expenditures
• D)net debt issues

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Definitions:

Government

The organization or system through which a community or society is governed, often responsible for creating and enforcing laws.

Market Failure

A scenario where goods and services distributed by an unrestricted market fail to achieve efficiency, frequently making a case for governmental involvement.

Poor Information

A situation where individuals or entities make decisions based on incomplete, inaccurate, or misleading information.

Repeat-purchase Item

A product or service that is bought by consumers on a regular basis due to its continuing need or satisfaction.