Analyzing the Statement of Cash Flows May Help Analysts Determine

question 116

Multiple Choice

Analyzing the statement of cash flows may help analysts determine the financial health of a company.Which of the following signs below is NOT an indicator of a financially healthy company?

• A)The company's operations are a major source (not a use)of cash.
• B)The company's operations result in Net Cash Used by Operating Activities.
• C)The company's investing activities include more purchases than sales of long-term assets.
• D)The company's financing activities are not dominated by borrowing.

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