Based on the perpetual inventory system, the payment for inventory, and the freight costs, the net cash flow from operating activities is $28,346
<h3>How to find the net cash flow?</h3>
The net cash flow for Green Company from its various transactions and using the perpetual inventory system can be found by the formula:
= Cash inflow from sales to customers - Cash outflow for freight cost - Cash outflow for freight cost to customers - Cash outflow for payment to supplier in ten days
The net cash flow from operating activities is therefore:
= 96,600 - 2,530 - 1,730 - (65,300 x (100% - 2%))
= 96,600 - 2,530 - 1,730 - 63,994
= $28,346
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