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Which of the following is most likely a short-term incentive given to top executives?
After-Tax Cash Flows
Cash flow from operations after adjusting for taxes, representing the actual cash a firm has after tax obligations.
Depreciation Expense
The allocation of the cost of a tangible asset over its useful life, reflecting the reduction in value over time due to wear and tear or obsolescence.
Interest Expense
The cost incurred by an entity for borrowed funds over a period.
Net Working Capital
Net working capital measures a company's short-term financial health, calculated as current assets minus current liabilities, indicating its ability to fulfill short-term obligations.
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