Negative cash flow:
A. is included in the pro forma income statement.
B. results when cash receipts exceed cash payments.
C. can cause a firm to fail.
D. is uncommon in new ventures.
Answer: C
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Answer the following statement true (T) or false (F)
A factory produces 124,000 televisions per quarter. A total of 8,000 production hours are used within the factory per quarter. Compute the velocity in units per hour
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Suppose the interest rate on a 1-year T-bond is 5.00% and that on a 2-year T-bond is 6.90%. Assuming the pure expectations theory is correct, what is the market's forecast for 1-year rates 1 year from now? Round the intermediate calculations to 4 decimal places and final answer to 2 decimal places.
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