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Which of the Statements Below Is FALSE

Question 48

Multiple Choice

Which of the statements below is FALSE?


A) The cash that the firm generates from its operating decisions (use of its assets) is used to either pay creditors or the owners of the company.
B) Cash flow from assets shows the success or failure of the operating decisions.
C) Cash flow to owners shows cash paid to owners plus any new borrowing from owners.
D) Cash flow to creditors shows a portion of how the firm is financing the operations.

Correct Answer:

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