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The Statement Concerning the Cash Flow Ratio That Is True

Question 60

Multiple Choice

The statement concerning the cash flow ratio that is true is:


A) The cash flow ratio compares the cash flow from operating activities with the current liabilities.
B) The cash flow ratio it is used to assess liquidity.
C) The cash flow ratio is a better measure of liquidity than the current ratio because it calculated using cash flow generated over a whole reporting period rather than the current assets at a point in time.
D) all the statements are true

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