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January 22, 2023

There are two types of errors you can make in evaluation. One is thinking things are bad when they are good, and the other is thinking things are good when they are bad.

There are two types of errors you can make in evaluation. One is thinking things are bad when they are good, and the other is thinking things are good when they are bad. We have discussed how Walmart can look bad but be good when it comes to operating cash flows. Can anyone share how a company could have good liquidity ratios but be in serious difficulties? What error can this omission lead to?

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