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A study shows that 3 in every 50 sheep have black wool. If a farm has 250 sheep, how many would you expect to have black wool?
Financial Statements
Reports that summarize the financial performance, position, and cash flows of a business over a specific period.
Indirect Method
A way to prepare cash flow statements where net income is adjusted for non-cash expenses, changes in working capital, and non-operating cash flows to calculate cash flow from operating activities.
Operating Activities
The day-to-day functions of a business related to producing and selling its goods or services, which are reflected in its cash flow.
Investing Activity
Transactions and events that involve the purchase and/or sale of long-term assets and other investments, as shown in a company’s cash flow statement.
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