BioTree Inc.has used $350,000, from its total annual earnings of $1,250,000, to invest in the research and development of a multi-purpose vaccine.Its account receivable from customers is estimated to be $150,000 and accounts payable $80,000.In monetary terms, what would BioTree Inc.'s resource flows be?
A) $1,250,000
B) $150,000
C) $80,000
D) $350,000

Question

Quizplus · Accepted Answer

In monetary terms, BioTree Inc.'s resource flows would be $350,000. Resource flows are a firm's level of investments to maintain or build a resource.