Question

Ayayai Beverage Company reported the following items in the most recent year. Net income $46,800 Dividends paid 6,890 Increase in accounts receivable 12,390 Increase in accounts payable 8,090 Purchase of equipment (capital expenditure) 9,020 Depreciation expense 5,090 Issue of notes payable 24,440 Compute net cash provided by operating activities, the net change in cash during the year. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) AYAYAI BEVERAGE COMPANY Statement of Cash Flows $ $ $

Answer 1

Answer:

Net cash provided by operating activites is $790

Net cahnge in cash during the year is $56,120

Explanation:

Operation cashflows are include the cash inflow and outflow from operations of the business.

Investing cashflows are include the cash inflow and outflow from Investment in Fixed assets of the business.

Financing cashflows are include the cash inflow and outflow from Investment in Fixed assets of the business.

AYAYAI BEVERAGE COMPANY

Statement of Cash Flows

Cash Flows from Operating Activities

Net Income                                                           $46,800

Increase in Accounts Receivable  ($12,390)

Increase in Accounts Payable         $8,090

Depreciation Expense                     $5,090  

Net Cash Provided by Operating Activities       $790

Cash Flow s from Investing Activities

Purchase of Equipment                 ($9,020)

Net Cash Provided by Investing Activities        ($9,020)

Cash Flow s from Financing Activities

Dividends paid                                ($6,890)

Issue of notes payable                   $24,440

Net Cash Provided by Financing Activities        $17,550

Net Cash Flow during the year                                            $56,120