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kiruha [24]
1 year ago
6

Cash flow ________ be negative before debt and equity infusions and ________ be negative after them.

Business
1 answer:
Eddi Din [679]1 year ago
7 0

Cash flow can be negative before debt and equity injections and must not be negative afterward.

The income statement recognizes income and expenses when cash is incurred, not when cash is actually exchanged. A cash flow statement records cash inflows and outflows when they actually occur.

The present value method calculates the expected monetary gain or loss from a project by discounting all expected future cash inflows and outflows to date using the hurdle rate.

Accounting receipts are pure receipts - expenses = receipts; cash flow is when cash actually changes hands, either coming in or going out. Recent cash flow should be used.

Learn more about Cash flow at

brainly.com/question/735261

#SPJ4

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The correct answer is the letter b. Efficiency refers to maximizing the size of the pie; equality refers to distributing the pie fairly among members of society.

Explanation:

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