Positive cash flow from financing activities on the statement of cash flows most likely indicates a company is ________.
A)borrowing more than it is paying off
B)buying more long-term assets than it is selling
C)paying off more of its debts than it is borrowing
D)in poor financial health

Question

Quizplus · Accepted Answer

Positive cash flow from financing activities typically indicates that a company is borrowing more than it is repaying. This can happen through issuing more debt or selling more stock than it is buying back or paying off.

Positive Cash Flow from Financing Activities on the Statement of Cash