Question: Problem 10-13 Consider the following data for three different companies: ($000 Omitted) Owens Arrow Alpha Net cash provided (used) by: Operating activities $(2,000) $2,700 $(3,000)
Problem 10-13 Consider the following data for three different companies:
($000 Omitted) Owens Arrow Alpha
Net cash provided (used) by:
Operating activities $(2,000) $2,700 $(3,000)
Investing activities (6,000) (600) (400)
Financing activities 9,000 (400) (2,600)
Net increase (decrease) in cash $ 1,000 $1,700 $(6,000)
The patterns of cash flows for these firms differ. One firm is a growth firm that is expanding rapidly, another firm is in danger of bankruptcy, while another firm is an older firm that is expanding slowly.
Required Select the growth firm, the firm in danger of bankruptcy, and the firm that is the older firm expanding slowly. Explain your selection.
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