Which of the following measures can be used to evaluate a company's ability to meet future debt obligations after paying operating expenses, dividends and making capital expenditures?
A) Earnings per share
B) Net income
C) Cash flow adequacy ratio
D) Net increase or decrease in cash and cash equivalents
C
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On the statement of cash flows, the cash flows from financing activities section would include all of the followingexcept
a. receipts from the sale of bonds payable b. payments for dividends c. payments for purchase of treasury stock d. payments of interest on bonds payable
The stock release document is prepared by the shipping department to provide evidence that the goods have been released to the customer
Indicate whether the statement is true or false
Issuance of notes, either long-term or short-term, would be reflected in the financing activities section of the statement of cash flows
Indicate whether the statement is true or false
The ________ inventory system updates accounting records for each purchase and each sale of inventory.
Fill in the blank(s) with the appropriate word(s).