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Problem 1: What information is reflected on the cash budget?
A. All the revenues and cash inflows and all expenses and cash outflows for a period
B. All the amounts that appear on a budgeted income statement
C. The expected cash receipts and cash disbursements from all sources
D. All revenues and all expenses for a period
Problem 2: Which one of the following is the last step in preparing the operating budget?
A. Cash budget
B. Production budget
C. Budgeted balance sheet
D. Budgeted income statement
Financial Statement Analysis and Preparation
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T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .
Computation of Free Cash Flow
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