What do operating activities measure through net income

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1. What do operating activities measure through net income and changes in accounts receivable?

Operating cash required for making principal payments on long-term debts

Efficiency and turnover (in days) ratios

Cash generated by the current operating cycle

Trends in the leverage position of a business

2. An Altman Z-score of 4.37 would suggest that the company is ________.

exposed to some risk of bankruptcy

in financial distress and there is a high probability of bankruptcy in the short term

healthy and there is a low bankruptcy potential in both the short and long-term

healthy and there is a low bankruptcy potential in the short term

Reference no: EM131570007

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