Question

Suppose Torche Corporation has the following results related to cash flows for 2019: Net Income of...

Suppose Torche Corporation has the following results related to cash flows for 2019:

Net Income of $8,500,000
Decrease in Accounts Payable of $400,000
Increase in Accounts Receivable of $800,000
Increase in Debt of $100,000
Depreciation Expenses of $2,000,000
Dividends Paid of $300,000
Increase in Inventory of $300,000
Purchases of Property, Plant, & Equipment of $5,400,000
Other Adjustments from Financing Activities of -$700,000
Other Adjustments from Investing Activities of $600,000
Other Adjustments from Operating Activities of $500,000

Create a statement of cash flows with amounts in thousands.

What is the Net Cash Flow?

Note: Financial results are provided in dollars but the income statement units are thousands of dollars.

Please specify your answer in the same units as the statement of cash flows (i.e., enter the number from your completed statement of cash flows).

Homework Answers

Answer #1
Statement of cash flows in '000's
Net Income 8,500
Decrease in Accounts Payable   -400
Decrease in Accounts Receivable 800
Decrease in debt -100
Depreciation Expense   2,000
Dividends -300
Increase in Inventory   -300
Purchases of PP&E -5400
Other adjustments from Financing Activities   700
Other adjustments from Investing Activities   600
Other adjustments from Operating Activies   500
Net cash flow 6,600

Net cash flow $ 6,600,000 or 6,600

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