Question

Note: -
You are attempting question 4 out of 12
What was the firm's cash flow (CF) due to financing activities in the second year if the
firm generated $1,170 in cash flow from activities and $640 in cash flow from investing
activities. The cash balance at the beginning of the year is $200 and the balance at the end
of the year is $380.
a. $1,630
b. $350
c. $880
d. $1,250
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Answer 1

Answer:

I don't know but I am trying so if these is wrong than I am sorry $1630

Answer 2

Cash Flow from financing activities is a part of the cash flow statement that show the net flows of cash that are needed for start a business.

As per the cash flow statement:

Cash balance at the end = cash flow from operating activities + cash flow from investing activities + cash flow from financing activities + cash balance at the beginning

From the above formula,

Let the cash flow from financing activities be x

380 = 1,170 + 640 + x + 200

380 = 2,010 + x

x = 380 - 2,010

= ( 1,630)

This tells the company's financial health, negative financing activities show that the company has paid out its capital or has provided dividends to shareholders.

Thus, the correct option is: (a)