If a company borrows more than it pays in interest.Select one:a.Cash flow to stockholders will be negativeb.Cash flow to creditors will be negativeO c.Cash flow to stockholders will be positiveO d.Cash flow to creditors will be positive

As per international accounting standard 7 on cash flow statement, if a company borrows it will…

If a company borrows more than it pays in interest. Select one: O a.Cash flow to stockholders will be negative O b.Cash flow to creditors will be negative c.Cash flow to stockholders will be positive d.Cash flow to creditors will be positive

If a company borrows more than it pays in interest. Select one: O a.Cash flow to stockholders will be negative O b.Cash flow to creditors will be negative c.Cash flow to stockholders will be positive d.Cash flow to creditors will be positive

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 14Q: What insight does the calculation of free cash flow provide about the companys cash flow position?

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Question

If a company borrows more than it pays in interest.
Select one:
a.Cash flow to stockholders will be negative
b.Cash flow to creditors will be negative
O c.Cash flow to stockholders will be positive
O d.Cash flow to creditors will be positive

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