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Ratio of Cash to Monthly Cash Expenses Financial data for Abrams Company follow: For Year Ended December 31 Cash on December 31 $54,270 Cash flow

Ratio of Cash to Monthly Cash Expenses

Financial data for Abrams Company follow:

For Year Ended December 31
Cash on December 31 $54,270
Cash flow from operations (97,200)

a. Compute the ratio of cash to monthly cash expenses. Round your answer to one decimal place. fill in the blank 1 months

b. Interpret the results computed in (a).

Abrams Company has sufficient cash.Abrams Company will need to generate positive cash flow from operations. Abrams Company will need to generate negative cash flow from operations.Abrams Company will need to generate positive cash flow from operations.

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