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4. Why does profitability not always track with revenue? The revenue generates more direct expenses. The net income of the business is generated due to
4. Why does profitability not always track with revenue? The revenue generates more direct expenses. The net income of the business is generated due to luck. O As revenue increases, the need for additional resources increase. O The profitability always tracks with the revenue. 5. What are the priority uses of Cash Flow? O The ability to generate 4 periods of positive cash flow. O The chance to buy a boat, make a bigger salary, buy an airplane and a big house. O Ability to pay 4 payroll periods in a row. O Pay taxes, repay debt, reach core capital and make distributions. 6. What should a business owner have as reserves? O 6 months O1 month O One year
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