One way that a company can assess whether or not it can meet its obligations through its operating cash flow is by its
A) net free cash flow.
B) operating activities section of the cash flow statement.
C) the liabilities section of the Statement of Financial Position.
D) cash flow to total liabilities.
E) all of the above

Question

Quizplus · Accepted Answer

The cash flow to total liabilities ratio measures a company's ability to cover its liabilities with its operating cash flow, providing insight into its financial health.

One Way That a Company Can Assess Whether or Not