1. Discuss and explain the difference between profit/loss and cash flow. How could a company have positive cash flow, but show a net loss at year end? What are some examples of industries and/or companies that might generate subtantial cash flow, but could lose money? Conversely, what are some examples of industries and/or companies that might generate very limited cash flow, but could show a profit at year end?

2. The collapse of W. T. Grant, the 17th largest retailer in the U.S. with 1,200 stores and 82,000 employees in 1975, came as a surprise to the capital markets! Why should this have not been a surprise? What got overlooked? What analysis should have happened?

Please Provide a long answer.