Which of the Following Would NOT Be a Red Flag

question 55

Multiple Choice

Which of the following would NOT be a red flag in a financial statement analysis?

• A)Increased Accounts Receivable turnover
• B)Decreased cash flow
• C)High debt ratio
• D)Low inventory turnover

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Definitions:

Add

To combine one quantity with another to find the total or sum.

MT

In logic, Modus Tollens, a valid argument form where if 'P implies Q' is true and 'Q' is false, then 'P' must also be false.

Simp

A slang term often used online to describe someone who overly sympathizes or performs excessive attention and affection towards another person, typically to gain their affection, without receiving any in return.

MP

An acronym for "Modus Ponens," a common form of argument that takes the structure: if P, then Q; P; therefore, Q.