Which of the following are (is)generally considered problems associated with cash flow estimation?
A)Uncertainty about the future cash flows
B)The introduction of bias into the estimation of cash flows
C)Uncertainty about the magnitude of fixed cost financing charges
D)a and b

Question

Quizplus · Accepted Answer

Both uncertainty about the future cash flows and introduction of bias into the estimation of cash flows are common problems associated with cash flow estimation. While uncertainty about the magnitude of fixed cost financing charges can also be a problem, it is not as commonly cited as the other two issues. Therefore, options A and B are the best choices. Choice D includes both A and B, making it the correct answer.

Which of the Following Are (Is)generally Considered Problems Associated with Cash