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1) When forecasting balance sheet financials, an unusually high forecasted cash balance suggests which of the following? Group of answer choices A) Sales are projected

1) When forecasting balance sheet financials, an unusually high forecasted cash balance suggests which of the following?

Group of answer choices

A) Sales are projected to increase in coming years.

B) The company will need to sell additional stock.

C) The company is generating a lot of cash, most typically from operations.

D) Account receivables have dipped to an unacceptable level.

E) None of the above

2) Which of following is an advantage of the ROPI model?

Group of answer choices

A) Well known and widely accepted valuation model

B) Cash flows are not affected by accrual accounting

C) Utilizes both the balance sheet and the income statement, and captures the information in accrual accounting

D) Does not depend on an arbitrary discount rate.

E) None of the above

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