Cash flow is ________

A) the increase but not decrease in cash for the period
B) the decrease but not increase in cash for the period
C) the increase or decrease in cash for the period
D) the net income for the period


Answer: C
Explanation: C) Net income is the accounting profits from the operations of the company during the period and thus would not typically be the cash flow (except by coincidence). Cash flow can be positive or negative and thus is the increase or decrease in cash for the period.

Business

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