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A company wants to maintain its current debt/equity ratio. Which of the following relationships would most likely occur on the cash flow statement? A Cash
A company wants to maintain its current debt/equity ratio. Which of the following relationships would most likely occur on the cash flow statement?
A Cash from operations would be equal to cash from financing activities for the year.
B New borrowings would be less than cash from operations for the year.
C Cash from operations would be equal to any debt paid off during the year.
D New borrowings would replace any debt paid off.
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