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QUESTION 4 To construct a common-size cash flow statement, we can A devide each line item in the cash flow statement by the company's net revenue in the same year. B. divide each line item of cash inflow by the total cash inflows and divide each line item of cash outflow by the total cash outflows in the same year. OC.devide each line item in the cash flow statement by the company's total assets in the same year. OD. Both A and B.

QUESTION 4 To construct a common-size cash flow statement, we can A devide each line item in the cash flow statement by the company's net revenue in the same year. B. divide each line item of cash inflow by the total cash inflows and divide each line item of cash outflow by the total cash outflows in the same year. OC.devide each line item in the cash flow statement by the company's total assets in the same year. OD. Both A and B.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please explain why the option is correct and remaining incorrect in detail answer in text explain each and every option need correct answer
QUESTION 4 To construct a common-size cash flow statement, we can OA. devide each line item in the cash flow statement by the company's net revenue in the same year. B. divide each line item of cash inflow by the total cash inflows and divide each line item of cash outflow by the total cash outflows in the same year. OC. devide each line item in the cash flow statement by the company's total assets in the same year. OD. Both A and B.
Transcribed Image Text:QUESTION 4 To construct a common-size cash flow statement, we can OA. devide each line item in the cash flow statement by the company's net revenue in the same year. B. divide each line item of cash inflow by the total cash inflows and divide each line item of cash outflow by the total cash outflows in the same year. OC. devide each line item in the cash flow statement by the company's total assets in the same year. OD. Both A and B.
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