True or false: interest paid minus net new borrowing equals cash flow to creditors.

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05-09-2022
Business

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True or false: interest paid minus net new borrowing equals cash flow to creditors.

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tutorconsortium344 tutorconsortium344 · Answer 1 · 2022-09-09T22:21:54-04:00

This problem is a True statement. interest paid minus net new borrowing equals cash flow to creditors.

What is Cash flow?

The inflow and outflow of cash inside a business is known as cash flow. Inflows are represented by money received, and outflows are represented by money spent. A particular kind of financial statement called a cash flow statement details the sources and expenditures of a company's net profit over time. Costs incurred as part of routine activities are included in operations cash flow.

Therefore,

interest paid minus net new borrowing equals cash flow to creditors.

This problem is a True statement.

To learn more about cash flow from the given link:

https://brainly.com/question/10922478

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