The Greater the Environmental Uncertainty, the More an Organisation Needs

question 109

Multiple Choice

The greater the environmental uncertainty, the more an organisation needs to become _________.

• A)high-tech
• B)mechanistic
• C)stable
• D)organic

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Definitions:

Indirect Method

A cash flow statement approach that adjusts net income for changes in non-cash working capital and other items to calculate operating cash flow.

Cash Flow Classifications

The categorization of cash flows into operating, investing, and financing activities for the purpose of financial reporting and analysis.

Free Cash Flow

The cash a company generates after accounting for cash outflows to support operations and maintain its capital assets.

Net Cash Flow

The amount of cash that is generated or lost by a business in a given period, considering cash inflows and outflows from operating, investing, and financing activities.