In: Accounting
Company Cash from Operations Cash from Investing Cash from Financing
Microsoft $7,951 $ (6,176) $ 5,541
Ebay 9,969 3,579 (9,694)
TJ MAX (2,498) 438 396
Each of these companies shows a different cash flow pattern. Explain what these patterns might indicate about each company.
Company | Cash from operation | Cash from investing | Cash from financing | |||
Microsoft | 7951 | -6176 | 5541 | |||
Ebay | 9961 | 3576 | -9694 | |||
TJ Max | -2498 | 438 | 396 | |||
Positive number indicates the section as positive cash flow from that section. | ||||||
Negative cash flow indicates that negative cash flow from that section | ||||||
Cash Frop operation: As per above TJ Max have the negative cash flow from operative activities and | ||||||
Microsoft and ebay have the positive cash flow | ||||||
Cash flow from ivnesting: In this section if the there is some purhcase of investment is more than | ||||||
the sale of investment than it shows negative and otherwise it shows positive | ||||||
So it means microsoft have purchase is more so he have the negative cash flow and other have positive cash flow | ||||||
Cash from financing: In this section if we issue some shares, bonds debebtures than it shows positive and if | ||||||
we redemmed the bonds , purchase the shares , issue of dividend thant is will be shows the negative | ||||||
So it means Ebay have the negative cash flow from financing activities and microsoft and TJ max have the positive cash flow | ||||||