You can determine a company’s cash situation by analyzing the cash flow statement. The cash flow statement also helps determine whether the company (1) is generating enough cash from its operations to make new investments and pay dividends or (2) will need to generate cash by issuing new debt or selling its assets. A firm has $100 million in revenues. Does that mean it has generated a cash flow of $100 million?

A firm that has $100 million in revenues does not mean that the firm has generated a cash flow of $100 million.

Explanation:

The revenue could be on account, in which case, the firm has literally not generated any cash flow, but decreased the cash flow instead.  To increase the cash flow by $100 million as a result of revenue, this particular firm needs to collect the amount from its customers in cash.  Cash flow is generated when cash is received and not when services or goods are sold.

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi

answer; swot analysis;