Question

In: Accounting

A firm reported ($ in millions) net cash inflows (outflows) as follows: operating $68, investing ($192),...

A firm reported ($ in millions) net cash inflows (outflows) as follows: operating $68, investing ($192), and financing $352. The beginning cash balance was $254. What was the ending cash balance?

Multiple Choice

$482.

$866.

$124.

$26.

Solutions

Expert Solution

CALCULATION OF THE CLOSING CASH BALANCE
AMOUNT
Cash Flow opearating activities $                              68
Cash Flow from investing activities $                          -192
Cash Flow from financing Activities $                            352
Net increase in cash and cash equivalents $                            228
Add: Opening Cash Balance $                            254
Ending Cash Balance $                            482
Answer = Option 1 = $ 482

Related Solutions

Classify cash inflows and outflows as relating to operating, investing, or financing activities.
Classify cash inflows and outflows as relating to operating, investing, or financing activities.
The calculation that expresses the ratio of net cash inflows to net cash outflows produced by...
The calculation that expresses the ratio of net cash inflows to net cash outflows produced by a financial contract is known as: Select one: a. net present value. b. net profit. c. internal rate of return. d. rate of return.
Forecast the Net Present Value of a project given the cash inflows and cash outflows of...
Forecast the Net Present Value of a project given the cash inflows and cash outflows of the project. Then use this information to simulate the uncertainty of forecasting a project’s NPV. A likely scenario might be: Project A is a multi-year project; it begins on January 1, 2011 and is scheduled to end on December 31, 2014 (fixed cost is $215,000) The cash outflow for Project A is estimated at $100,000 at the beginning in the first year of the...
The operating activities section of the Statement of Cash Flows shows the inflows and outflows from...
The operating activities section of the Statement of Cash Flows shows the inflows and outflows from our day to day operations. Why is it that cash flows from operating activities does not equal net income? Is it possible for a company to have net income for the year and have a negative cash flow from operating activities in the same year? Why or why not?
A company estimates the following net cash inflows and outflows for a capital investment project that...
A company estimates the following net cash inflows and outflows for a capital investment project that is currently under consideration. year Cash flow 0 (575,000) 1 45,800 2 99,000 3 104,300 4 118,700 5 130,400 6 129,000 7 116,500 8 77,200 9 55,000 10 12,500 Calculate the ARR and NPV of the project.
Cash outflows to purchase available-for-sale securities on a long-term basis would be reported in the investing...
Cash outflows to purchase available-for-sale securities on a long-term basis would be reported in the investing section of the cash flow statement. Question 25 options: a) True b) False Question 26 (1 point) A cash flow statement starts with net income and adds (or deducts) items that did not affect cash to arrive at net cash provided by operating activities if the indirect method is used. Question 26 options: a) True b) False Question 27 (1 point) Saved The issue...
The text states, "Over sufficiently long time periods, net income equals cash inflows minus cash outflows,...
The text states, "Over sufficiently long time periods, net income equals cash inflows minus cash outflows, other than cash flows with owners." Demonstrate the accuracy of this statement in the following scenario: Two friends contributed $50,000 each to form a new business. The owners used the amounts contributed to purchase a machine for $100,000 cash. They estimated that the useful life of the machine was five years and the salvage value was $20,000. They rented out the machine to a...
Prepare the cash budget and determine the cash inflows, cash outflows, and the expected change in...
Prepare the cash budget and determine the cash inflows, cash outflows, and the expected change in cash each month. The management estimates total sales for the period January, 2019 through June 2019 based on actual sales from the immediate past six months. The following assumptions are made:  The Sales were $125,000 in July 2018 and then the sales grew by 8% each month for the first three months (i.e., August to October 2018) and by 6% for the next...
Determine the total cash inflows, the total cash outflows, and the expected change in cash for...
Determine the total cash inflows, the total cash outflows, and the expected change in cash for each month from January to July, 2019. Show your work in excel using excel functions. Based the findings, explain in your own words whether the company should borrow/invest and how much and in which months. The management estimates total sales for the period January, 2019 through June 2019 based on actual sales from the immediate past six months. The following assumptions are made: The...
Listed below is a list of cash inflows and cash outflows for Toggle Inc. 1. Cash...
Listed below is a list of cash inflows and cash outflows for Toggle Inc. 1. Cash paid to employees for salaries 2. Cash from the sale of marketable securities 3. Cash used to pay dividends 4. Cash from the sale of services to customers 5. Cash paid to government agencies for taxes 6. Cash received from the sale of equipment 7. Cash received from issuing debt 8. Cash received from interest earned on a bond investment 9. Cash used to...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT