How Can You Tell If a Company Is Taking Big

question 150

Multiple Choice

How can you tell if a company is taking big bath charges this year?

• A)Compare this year's accounts receivable with last year's.If this year's accounts receivable are much bigger,there must have been many charges.
• B)Compare this year's income statement with several previous years',looking for unusual expenses or write-offs.
• C)Compare this year's cash flow from operating activities with several previous years'.If this year's cash flow from operating activities is much smaller,there must have been many charges.
• D)Look for a note titled "Big Bath Charges" in the annual report.

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Definitions:

Independent Role

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Licensed individuals who have completed rigorous nursing education and training to provide healthcare services.

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Human Transaction

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