Question
Harry Company had negative cash from operating activities, positive cash from investing activities, and positive cash from financing activities. Which ONE of the following best
Harry Company had negative cash from operating activities, positive cash from investing activities, and positive cash from financing activities. Which ONE of the following best describes Harrys overall cash flow activities for the year?
a. Operations generated sufficient cash to finance the purchase of new buildings and to pay off existing debts.
b. New loans and new stockholder investment were sought to increase the total amount of property, plant, and equipment
c. in order to satisfy its cash needs for the year, the company was required to seek new financing and to sell some of its existing property, plant, and equipment.
d. Operating cash flow was large enough to pay for new buildings and to pay a large cash dividend to shareholders.
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