A company's net cash from operating activities is lower than its net income indicating that
A)the company had less available funds then its net income.
B)too much cash is being spent.
C)too little cash is being spent.
D)none of the above.

Question

Quizplus · Accepted Answer

Net cash from operating activities is the amount of cash generated from the company's operations. If this amount is lower than net income, it indicates that the company had less available funds than its net income.

A Company's Net Cash from Operating Activities Is Lower Than