Net cash flow from operating activity


Problem:

A firm generated net income of $862. The depreciation expense was $47 and dividends were paid in the amount of $25. Accounts payables decreased by $13, accounts receivables increased by $28, inventory decreased by $14, and net fixed assets decreased by $8. There was no interest expense.

Required:

Question: What was the net cash flow from operating activity?

Note: Provide support for your underlying principle.

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Accounting Basics: Net cash flow from operating activity
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