What other cash-flow issues should investors look out for

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Problem 1: Many have stated that the Statement of Cash Flows is the most important financial statement, due to the importance of liquidity. However, cash flow is susceptible to manipulation. For example, some companies will increase their accounts payable and/or postpone payments, which in turn reflect a more positive cash flow. What other cash-flow issues should investors look out for before relying on related ratios and/or statements?

Reference no: EM132814797

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