Which One of the Following Will Increase the Operating Cash

question 57

Multiple Choice

Which one of the following will increase the operating cash flow as computed using the tax shield approach?

• A)Decrease in depreciation
• B)Decrease in sales
• C)Increase in variable costs
• D)Decrease in fixed costs
• E)Increase in the tax rate

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Definitions:

Safety Laws

Regulations designed to ensure the health and safety of individuals in workplaces, public areas, and private spaces.

Chairlifts

Mechanical transportation systems typically used at ski resorts to transport skiers up a mountain; consists of a series of chairs suspended from a moving cable.

Collective Agreement

An agreement in writing, made between an employer and a union certified or recognized as the bargaining unit of the employees. It contains the terms and conditions under which work is to be performed and sets out the rights and duties of the employer, the employees, and the union.

Closed-Shop Clause

A provision in a labor agreement requiring all employees to be members of a union as a condition of employment.