Cash flow ________ be negative before debt and equity infusions and ________ be negative after them.

Question

Quizplus · Accepted Answer

Cash flow can indeed be negative before considering any debt and equity infusions, as a company might be spending more than it is earning in a given period. However, after accounting for debt and equity infusions, cash flow should not be negative, as these infusions are meant to provide the necessary capital to cover any shortfalls.

Cash Flow ________ Be Negative Before Debt and Equity Infusions