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A company's net cash flow will equal its net income ... A) Almost always B) Rarely C) Occasionally Year2 $ 654,269 5,307,211 3,615 045 $9,576,525 D) Only when the company has no investing cash flow for the period Year1 $ 552,234 4,846,961 3 106 775 $8 ,505,970 E) Only when the company has no investing or financing cash flow for the period

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Answer: B. Rarely

Explanation:

It is rare to impossible to see a company's net income equal its net cash flow because both of them involve different variables. Net income for instance, involves both cash and non-cash variables while net cash flow contains only cash transactions.

The Net cash flow also incorporates transactions from financing and investing which are not in net income. It is essentially impossible for Net income to equal net cash flow.