Question: 40.The relation between the cash flow from operating activities and the cash flow from investing activities is known as _____. a. financing cash flow b.

40.The relation between the cash flow from operating activities and the cash flow from investing activities is known as _____.

a.

financing cash flow

b.

net cash flow

c.

cash flow ratio

d.

free cash flow

42.Multiple answer question

Which statements about bonds are incorrect? Choose all that apply.

a.

A bond is an evidence that the bondholder owns a share of a corporation.

b.

With bonds, the issuing corporation has a legal obligation to make interest payments.

c.

With bonds, the issuing corporation has no legal obligation to pay back the original investment amount to the investor.

d.

Bondholders (bond investors) have priority over stockholders in extracting the remaining assets of a bankrupt corporation.

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