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Kisachek [45]
2 years ago
13

Free Skies Inc.'s annual report contained the following information (dollars in millions): Net loss $ (13,302 ) Depreciation, am

ortization, and impairments 34,990 Decrease in receivables 2,045 Increase in inventories 6,266 Decrease in accounts payable 505 Additions to equipment 4,677 Required: 1. Based on this information, compute cash flow from operating activities using the indirect method.
Business
1 answer:
alina1380 [7]2 years ago
8 0

Answer: $16,962

Explanation:

The cashflow from operating activities of a company shows the cash it gets from its day-to-day operations.

It is calculated as follows:

= (Net loss) + Depreciation + Decrease in receivables - increase in inventory - Decrease in accounts payable

= -13,302 + 34,990 + 2,045 - 6,266 - 505

= $16,962

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