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5) It is incorrect to make holistic conclusions about a company after looking at only one of the three financial documents. Prove this by giving
5) It is incorrect to make holistic conclusions about a company after looking at only one of the three financial documents. Prove this by giving one example to disprove each of the following statements: A company, DOPE Inc., claims it has been performing really well because last cash flow statement shows a remarkably high positive cash flow. Mr. BLING, who is an entrepreneur with a really high net worth, must be so rich (i.e. has so much cash at hand). LIT L.L.C., a private consultation start-up in the smart grid industry, must be failing because its EBITDA over the last three years have been reported as zero. A land developer company LONO, must be in good financial health because they recently purchased 1,000 acres of land
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