Indicate Whether Each of the Following Statements Is True or False

Indicate whether each of the following statements is true or false.
_____ a)It is possible for a growing business to have substantial earnings,but yet be short of cash.
_____ b)It is possible for a well-established business to report large operating losses,but have positive cash flow from operating activities.
_____ c)A merchandising firm adding new stores must report the additional inventory purchases as investing activities.
_____ d)When equipment is bought to replace old equipment,the transaction is reported as an operating activity.
_____ e)FASB requires companies to disclose significant investing and financing activities even if these transactions do not affect cash.