Quiz on Lesson ” How To Read A Cash Flow Statement “

What are the three main components of a cash flow statement?

A) Income, Balance Sheet, and Cash Flow

B) Operating activities, Investing activities, and Financing activities

C) Sales, Marketing, and Customer Service

What does a negative number in the “cash from investing activities” section of a cash flow statement represent?

A) The company is investing in new projects

B) The company is generating revenue from its investments

C) The company is spending money on investments

What does a negative trend in operating activities on a cash flow statement indicate?

A) The company is performing well

B) The company is investing in new projects

C) The company is facing financial difficulties

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