When Net Capital Flows Are Positive

question 180

Multiple Choice

When net capital flows are positive

• A)capital inflows are greater than capital outflows.
• B)net foreign investment is negative.
• C)capital outflows are greater than capital inflows.
• D)A and B are both correct.

---

Definitions:

Indirect Method

An accounting procedure used in cash flow statements to adjust net income for changes in non-cash items and cash operating expenses.

Operating Activities

Business activities directly related to the production, sale, and delivery of a company's products or services, reflected in its cash flow.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been allocated as depreciation expense since the asset was put into use.

Net Income

The amount of profit left after deducting all costs, taxes, and expenses from total revenue.