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    Intermediate Accounting Study Set 7
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    Exam 6: Statements of Financial Position and Cash Flows and the Annual Report
  5. Question
    If an Entity Can Borrow Funds to Meet an Unexpected
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If an Entity Can Borrow Funds to Meet an Unexpected

Question 120

Question 120

Multiple Choice

If an entity can borrow funds to meet an unexpected financial crisis, it exhibits high ________.


A) liquidity
B) solvency
C) stability
D) financial flexibility

Correct Answer:

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