_____ predict how changes in businesses will affect their ability to take in more money than they pay out.
A) Cash flow analyses
B) Balance sheets
C) Financial ratios
D) Income statements

Question

Quizplus · Accepted Answer

Cash flow analyses are specifically designed to predict how changes in a business will affect their ability to take in more money than they pay out. They focus on the actual cash that comes into and goes out of a business, including operating, investing, and financing activities. Balance sheets, financial ratios, and income statements all provide important financial information, but do not focus specifically on predicting cash flow.

_____ Predict How Changes in Businesses Will Affect Their Ability