If a company has a strong rate of return on ordinary shareholders' equity,that is an indication of good cash flow.

Name: If a company has a strong rate of return on ordinary shareholders' equity,that is an indication of good cash flow.
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Question

Quizplus · Accepted Answer

A strong rate of return on equity indicates profitability but does not necessarily mean good cash flow, as cash flow depends on how well a company manages its cash inflows and outflows.

If a Company Has a Strong Rate of Return on Ordinary