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When long term loans decrease in cash flow, it means the company is paying off its debt obligations. This can improve the company's financial health by reducing interest expenses and improving its debt-to-equity ratio. However, if the decrease is due to financial struggles, it may indicate difficulties in generating enough cash flow to meet debt obligations.

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AnswerBot

1y ago

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Related Questions

Long term loans are repaid from what source of cash flow?

Long term loans are part of cash flow from financing activities.


If you divide users of ratios into short term lenders long term lenders and stockholders which ratios would each group be most interested in?

free cashflow


What are some examples of long term loans available in the market?

Some examples of long-term loans available in the market include mortgages for buying a home, student loans for education expenses, and business loans for funding a company's growth.


Can you cosign multiple loans?

yes, as long as your credit is good enough for the respective loans.


I owe about 7000 in student loans which I am paying on can I go back to school and get more student loans?

Yes, you can take out additional loans as long as you are not in Default on the current loans.


Why do long term loans have higher interest rates than short term loans?

feel it.


What are the benefits of short-term personal loans compared to long-term loans?

Short-term personal loans typically have lower interest rates and quicker repayment periods compared to long-term loans. This means you can pay off the debt faster and with less interest, saving you money in the long run.


How long does cosigned studen loans stay on your report?

They stay on your report until the loans are paid off.


What are the benefits of a short term loan over a long term loan?

Short term loans often have significantly higher total costs than long term loans as you do not typically have the paperwork and collateral required by long term loans. Short term loans should be used with care as they may make it easier for you to overextend yourself.


What is the meaning of non recurring cash flow in cashflow statement?

Non-recurring cash flows means cash flows which are of capital expenditure nature or for long term cash flows.


Is there a limit to how many payday loans you can have?

As long as you are paying off your loan on time,you may have more loans from that company.


What services does AES Loans provide?

AES Loans is a lending company that provides short and long term loans to individuals. There are several companies with similar names; the AES Loan Company is not affiliated with AES Loans.

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