1. Can a firm with positive net income run out of cash? Explain.

2. What can you learn from management’s discussion or the notes to the financial statements?

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3. How did accounting fraud cont

1. What is the purpose of the income statement?

2. How are the statement of financial position and the income statement related? 8. What is the DuPont Identity and how can a financial manager use it?

3. How does the statement of cash flows differ from the income statement?

ribute to the collapse of Enron?

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