Explanation Cash Flow Statement: Cash flow statement refers to the financial statement that shows the summary of increase or decrease in cash in a company for a particular period of time. Cash can be increased or decreased through three activities that are operating, investing and financing activities. Calculation of net cash flow is: B Company Partial statement of cash flows For the current year ended Operating Activities Amount ($) Cash collected from customers (working note) 40,600 Cash paid to other suppliers (working note) (30,300) Cash received from other expenses (4,100) Cash tax benefit 540 Net cash provided by operating activities

2nd Edition

ISBN: 9780134730370

Author: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella

Publisher: PEARSON

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Chapter 6, Problem 6.10E

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The net cash flow from operating activities under the direct reporting format.

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Chapter 6, Problem 6.9E

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The net cash flow from operating activities under the direct reporting format.

Solution Summary: The author explains that the net cash flow from operating activities under the direct reporting format is 6,740.

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The net cash flow from operating activities under the direct reporting format.

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