Which of the following is a common finding in looking at the statement of cash flows of a declining company?

These are the options for the question:

a) A negative cash flow from operating activities

b) A negative cash flow from investing activities

c) A significant positive cash flow from financing activities

And this is the correct

a) A negative cash flow from operating activities

Explanation:

Declining companies are characterized by a lack of revenue from regular operating activities.

If cash flow from operating activities is negative, it means that the company is not making enough money to meet its obligations, and that will likely cease to exist in the near future unless big changes happen.

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.