Which of the following factors could explain why Regal Industrial Fixtures had a negative net cash flow last year, even though the cash on its balance sheet increased?
A) The company repurchased 20% of its common stock.
B) The company sold a new issue of bonds.
C) The company made a large investment in new plant and equipment.
D) The company paid a large dividend.
E) The company had high amortization expenses.
Correct Answer:
Verified
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