Cash Flow from Assets Is Defined As

question 85

Multiple Choice

Cash flow from assets is defined as:

• A)the cash flow to shareholders minus the cash flow to creditors.
• B)operating cash flow plus the cash flow to creditors plus the cash flow to shareholders.
• C)operating cash flow minus the change in net working capital minus net capital spending.
• D)operating cash flow plus net capital spending plus the change in net working capital.
• E)cash flow to shareholders minus net capital spending plus the change in net working capital.

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Definitions:

Elastic Demand

Refers to a situation where the quantity demanded of a good or service significantly changes in response to a change in its price. High elasticity indicates that consumers are more sensitive to price changes.

Demand Curve

A graph showing the relationship between the price of a good and the quantity of that good that consumers are willing to purchase.

Elasticity

A measure of how much the quantity demanded or supplied of a good changes in response to a change in its price, income levels, or other factors.

Perfectly Inelastic

A situation where demand or supply does not change in response to a change in price.