Question

in 2022 medrano manufacturing reported 3.9 billion in cash flows from operating actiivites but on ly 2.7 billion in net income what is one possible reason that medrano coudl reporet this difference

Answer 1

They recorded $1.2 billion in noncash expenses on their income statement.

One possible reason that Medrano could report this difference is 3.9 billion - 2.7 billion =$1.2 billion

In accounting terms, price is the operational fee that is paid to earn business sales. It manner the outflow of cash in going back to goods or offerings. prices also can be written as the sum of all the operations that normally convey income.

Price is any specific outflow of coins or different precious belongings from a person or organization to another man or woman or enterprise. This outflow is normally one facet of exchange for services or products which have identical or higher contemporary or destiny fees to the customer than to the vendor. Technically, a fee is an event in which a proprietary stake is dwindled or exhausted, or a liability is incurred. In terms of the accounting equation, costs reduce owners' fairness.

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