Is It Possible for a Firm to Have Positive Net

question 107

Multiple Choice

Is it possible for a firm to have positive net income and yet have cash flow problems?

• A)No, this is impossible since net income increases the firm's cash.
• B)Yes, this can occur when a firm is growing very rapidly.
• C)Yes, this is possible if the firm window-dressed its financial statements.
• D)No, this is impossible since net income and cash are highly correlated.

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Definitions:

Global Marketers

Professionals or companies that develop and implement marketing strategies across multiple countries, considering global diversity in consumer behavior and market dynamics.

Population Explosion

A rapid and large increase in the world or a specific area's population size.

Social Forces

Social factors and influences that impact the behavior, preferences, and attitudes of individuals and groups within society.

Marketing Environment

The external factors and forces that affect a company's ability to develop and maintain successful transactions and relationships with its target audience, including economic, social, technological, and political influences.