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    Cash Flow Computations

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    Cash Flow Computations
    From the following selected data, compute:
    1. Net cash flow provided (used) by operating activities.
    2. Net cash flow provided (used) by investing activities.
    3. Net cash flow provided (used) by financing activities.
    4. Net increase (decrease) in cash during the year.
    5. The cash balance at the end of the year.
    Cash receipts from:
    Customers . . . . . . . . . . . . . . . . . . . . . $270,000
    Investments by owners . . . . . . . . . . . 54,000
    Sale of building . . . . . . . . . . . . . . . . . 90,000
    Proceeds from bank loan . . . . . . . . . . 60,000
    Cash payments for:
    Wages . . . . . . . . . . . . . . . . . . . . . . . $ 82,000
    Utilities . . . . . . . . . . . . . . . . . . . . . . 3,000
    Advertising . . . . . . . . . . . . . . . . . . . . 4,000
    Rent . . . . . . . . . . . . . . . . . . . . . . . . . 36,000
    Taxes . . . . . . . . . . . . . . . . . . . . . . . . 67,000
    Dividends . . . . . . . . . . . . . . . . . . . . . 20,000
    Repayment of principal on loan . . . . . 40,000
    Purchase of land . . . . . . . . . . . . . . . . 106,000
    Cash balance at beginning of year . . . . $386,000

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    https://brainmass.com/economics/balance-of-payments/cash-flow-computations-159242

    Solution Preview

    1. Net cash flow provided (used) by operating activities

    Cash Receipts from Customer 270,000
    Total Cash Receipts 270,000
    Cash ...

    Solution Summary

    The solution explains how to calculate the cash flows under operating, investing and financing activities.

    $2.19