How do you do the Direct Cash Flow in Financing Activities?

What was the firm's cash flow due to financing activities during Year 2?

  • Over the last year, James Inc. generated $820 million in cash flow from operating activities and had negative cash flow generated from investing activities (-$430 million). At the end of Year 1, James had $140 million of cash on its balance sheet, and the firm had $350 million of cash at the end of year 2. What was the firm's cash flow due to financing activities during Year 2?

  • Answer:

    From what I can see, 1st Year - $140 M 2nd year - $350 M Difference - $210 M Net Cash from Operating Activities $820 M Net Cash from Investing Activities $430 M Operating - Investing + Financing = Net increase in Cash. 820 - 430 + ? = 210 390 + ? = 210 390 - 210 = $180 M in Financing Activities To check: 430 +180 + 210 = 820

JasonXia... at Yahoo! Answers Visit the source

Was this solution helpful to you?

Other answers

operating activities: 820 investing activities: -430 financing activities: -180 total: 210 At the end of Year 1: 140 At the end of Year 2: 350

andrejus.lebedevas

Good job! The answer is -180.

Tony

Just Added Q & A:

Find solution

For every problem there is a solution! Proved by Solucija.

  • Got an issue and looking for advice?

  • Ask Solucija to search every corner of the Web for help.

  • Get workable solutions and helpful tips in a moment.

Just ask Solucija about an issue you face and immediately get a list of ready solutions, answers and tips from other Internet users. We always provide the most suitable and complete answer to your question at the top, along with a few good alternatives below.