Last year, Boeing secured long-term financing in order to expand its facilities. To identify the timing of its cash flow, Boeing will include the loan payments on which of its budgets?
A) cash
B) financial
C) capital
D) operating

Question

Quizplus · Accepted Answer

Loan payments impact the cash flow of a company, so they are included in the cash budget. This budget helps the company understand its inflows and outflows of cash, including when loan payments are due.

Last Year, Boeing Secured Long-Term Financing in Order to Expand