
Concept explainers
Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity
Operating Activity:
Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the
Investing Activity:
Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.
Financing Activity:
Financing activity is the part of the cash flow statement. It involves the long term liability, borrowing and
To prepare: Cash flow statement

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Chapter 12 Solutions
FINANCIAL & MANAGERIAL ACCOUNTING
- Omega Corporation prepared the following tentative budget for next month: • • Sales Revenue = $600,000 • Selling Price per Unit = $10 • Variable Expenses = $360,000 • Fixed Expenses = $200,000 The sales manager proposes that the unit selling price could be increased by 15%, with an expected volume decrease of only 12%. Compute the budgeted net income if these changes are incorporated.arrow_forwardPlease need answer the financial accounting questionarrow_forwardPlease provide problem with accounting questionarrow_forward
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