Analysts Use the Statement of Cash Flows to Measure ________

question 50

Multiple Choice

Analysts use the statement of cash flows to measure ________.

• A)the ability of a company to repay loans
• B)the ability of a company to expand by investing in new equipment
• C)the amount of excess cash generated by operating activities
• D)all of these

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Definitions:

Raise Capital

The process of generating funds or resources for a business or project, typically through investments, loans, or selling equity.

Public

Pertains to the community as a whole or the people of a society.

Private Equity Capital

Capital funds invested by a private equity firm in an existing corporation, usually to purchase and reorganize it.

Initial Public Offering

The first sale of a company's stock to the public, marking the transition from a private to a publicly traded company.