A banker asserts, I avoid lending to companies with negative cash from operations because they are too

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A banker asserts, “I avoid lending to companies with negative cash from operations because they are too risky.” Is this a sensible lending policy?

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Business Analysis Valuation Using Financial Statements

ISBN: 978-1111972301

5th edition

Authors: Paul M. Healy

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Question Posted: Feb 11, 2015 02:45 AM

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A banker asserts, I avoid lending to companies with negative cash from operations because they are too

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No A banker should decide whether the borrowing firm has the ability to service the debt ...View the full answer

Business Analysis Valuation Using Financial Statements

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