Higher Cash Flow and Greater Risk

question 30

Multiple Choice

Higher cash flow and greater risk

• A) have no effect on share price.
• B) have an inverse effect on share price.
• C) adversely affect share price.
• D) have the same effect on share price.

Comprehend the components and calculation of cash flows from operating, investing, and financing activities.

Understand the calculation and implications of gross profit.

Grasp the concepts of equity valuation and the impact of debt and equity ratios on it.

Analyze the effects of accounts receivable and inventory changes on cash.

---

Definitions:

Health Insurance

A type of insurance coverage that pays for an insured individual's medical and surgical expenses in part or in full.

Malaria

A life-threatening disease caused by parasites that are transmitted to people through the bites of infected female Anopheles mosquitoes.

Kidney Disease

A medical condition characterized by the gradual loss of kidney function over time, leading to the accumulation of waste products and fluids in the body.

Transplant Programs

Medical initiatives or operations focusing on the transplantation of human organs or tissues from donors to patients who require them.