Which of the following statement is False? "Bonds" is NOT normally considered to be a current asset. Cost of goods sold cannot be found on a firm's balance sheet under current liabilities. EBIT stands for earnings before interest and taxes, and it is often called "operating income." A positive free cash flow indicates that a firm generates less than enough cash to finance current investments in fixed assets and working capital. Positive earnings does not always indicate positive EVA (economic value added). Which of the following is True? The statement of cash flows reflects cash flows from operations, but it does not reflect the effects of buying or selling fixed assets. EBITDA stands for earnings before interest, taxes, depreciation and amortization. Most rapidly growing companies have positive free cash flows because cash flows from existing operations generally exceed fixed asset purchases and changes to net operating working capital. In the statement of cash flows, a decrease in inventories is subtracted from net income in the operating activities section.