What Is the Financing Cash Flow, Given the Following Information

question 6

Multiple Choice

What is the financing cash flow, given the following information?

• A) -$180
• B) -$150
• C) -$110
• D) -$60
• E) -$10

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Definitions:

Break-Even

The point at which total cost and total revenue are equal, meaning the business or project is not making a loss nor profit.

Peak Efficiency

Peak Efficiency is the optimal state of operation where resources and processes produce maximum output with minimum waste or inefficiency.

ATC Curve

The Average Total Cost curve graphically represents the total cost per unit of output produced, calculated by dividing the total cost by the quantity of output.

Economic Profits

The total revenue of a business minus its explicit and implicit costs; it’s a measure of excess above the normal levels of profits businesses earn in a competitive environment.