A "cash cow" type of business: a. Generates positive cash flows over and above its internal requirements, thus providing a corporate parent with cash flows that can be used for other business activities.
b. Is one that generates cash flows that are too small to fully fund its operations and growth
c. Has declining sales revenues and chronic deficiencies of working capital
d. Generates negative cash flows from internal operations and thus requires cash infusions from its corporate parent to report a profit

Asmall town wants to build some new recreational facilities. the proposed facilities include a swimming pool, recreation center, basketball court and baseball field. the town council wants to provide the facilities which will be used by the most people, but they face budget and land limitations. the town has $400,000 and 14 acres of land. the pool requires locker facilities which would be in the recreation center, so if the swimming pool is built the recreation center must also be built. also, the council has only enough flat land to build the basketball court or the baseball field. the daily usage and cost of the facilities (in $1,000) are shown below. which facilities should they build? facilityusagecost ($1,000)landswimming pool4001002recreation center5002003basketball court3001504baseball field2001005