Sharma (1996)suggests That a Cash-Flow Based Measure of Retained Cash

question 14

Multiple Choice

Sharma (1996) suggests that a cash-flow based measure of retained cash flows from operations (RCFFO) may be an important indicator of financial flexibility.How is RCFFO measured?

• A) the level of cash retained, calculated by deducting net cash flows from investing from the net cash flows from operations.
• B) the level of cash retained after meeting all operating costs and priority payments such as interest costs and dividends.
• C) the level of cash retained after meeting all operating costs and deducting or adding as appropriate the cash flows from financing and investing activities.
• D) the level of cash retained, calculated by deducting net cash flows from financing from the net cash flows from operations.

---

Definitions:

Productive Work

Activities or tasks that result in the creation of value or services that contribute to economic or social advancement.

Young Adulthood

A developmental stage typically ranging from late teens to early thirties, characterized by exploration of personal and professional relationships and roles.

Intimate Relationships

Deeply personal and close connections between individuals, characterized by affection, love, trust, and intimacy.

Independence

The state of being self-reliant and not subject to control by others, often associated with the ability to make decisions and act on one's own.