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What is Key Financial Management Questions about?
1) A company can show positive cash flows but still be in acute trouble. This can occur if the positive cash flows come from unsustainable sources like aggressively reducing accounts receivable or stretching out accounts payable. 2) Another situation is if the positive cash flows are a result of liquidating inventory or other current assets below normal operating levels. This is not maintaining regular operations and cash flows may not be recurring. 3) Positive cash flows alone do not guarantee financia
- Author
- Selvi balan
- Language
- EN