Depreciation with no other changes in the firm

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Reference no: EM131954134

1. If a profitable firm is able to increase its depreciation with no other changes in the firm, which of the following will be true? A. Net income will fall and net cash flow will increase B. Net income will fall and net cash flow will remain constant C. Both net income and net cash flow will increase D. Both net income and net cash flow will fall

2. Dunder-Mifflin had Cash Flow from Assets of $55,000 last year with an Operating Cash Flow of $120,000 and a Change in Net Working Capital of a negative $35,000. What was their Capital Spending? A. -$30,000 B. -$210,000 C. $100,000 D. -$100,000.

Reference no: EM131954134

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