tion $2$

have been promoted recently and now have access to the firm's monthly financial statem

less is good. Revenues are increasing rapidly, and income is at all$-$time high. The bal

thows growth in receivables, and accounts payable have declined. However, the chief fina

$r$ is concerned about the firm's cash flows from operating activities because they are decrea

are some reasons why a company with a positive net income may fall short of cash fro

ating activities? What could be done to improve this situation?