What is NOT true about cash? Question 6 options: Cash flows are a better indicator of a company's financial health than profits. A longer cash-to-cash cycle is normally preferred because it means the company is effective in generating cash. Usually there is a gap between the receipt of cash and the sale of products, which is referred to as Days Sales/Receivables Outstanding. Without adequate cash, even a profitable business can find it difficult to conduct routine activities and may go out of business.

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