Accurately forecasting cash flows can be a challenge for financial managers as they must analyze only which of the following?
A)relevant cash flows
B)future cash flows
C)potential cash flows
D)projected cash flows

Question

Quizplus · Accepted Answer

Financial managers must analyze only the relevant cash flows for accurately forecasting cash flows, as these are the cash flows that are directly related to the specific decision or project being analyzed. Future, potential, and projected cash flows may not necessarily be relevant to the analysis and may not accurately reflect the actual cash flows that will occur.

Accurately Forecasting Cash Flows Can Be a Challenge for Financial