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Cash Flows from Operating Activities Is a Negative Amount

Question 1

Multiple Choice

Cash flows from operating activities is a negative amount. From this fact you know that:


A) the company's cash balance decreased during this period.
B) the company's cash flows from operations are less than its net profit.
C) the company's operations used more cash resources than they generated.
D) the company's accounts receivable balance is increasing quickly.

Correct Answer:

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