Question : Cash Flow from Operating Activities + Cash Flow from Investing Activities + Cash Flow from Financing Activities =
Option 1: Net increase in Cash and Cash equivalents
Option 2: Net Decrease in cash and cash equivalents
Option 3: Both 1 and 2
Option 4: None of the above
Correct Answer: Both 1 and 2
Solution : Answer = Both 1 and 2
The sum of cash flows from operating, investing, and financing activities equals the net increase (or decrease) in cash and cash equivalents. This equation reflects the overall change in cash position resulting from the company's operational, investment, and financing activities. Hence, the correct option is 3.
Question : Net Increase/Decrease in cash and cash equivalents + Cash and Cash equivalents at the beginning of the period =..........
Option 1: Cash and Cash equivalents at the end of the period
Option 2: Cash flow from operating Activities
Option 3: Cash flow from investing Activities
Option 4: Cash flow from Financing Activities
Question : Net increase in working capital other than cash and cash equivalents will increase, decrease or not change cash flow from operating activities.
Option 1: Increase
Option 2: Decrease
Option 3: Both A and B
Question : Net decrease in working capital other than cash and cash equivalents will increase, decrease or not change cash flow from operating activities.
Option 3: Either A or B
Option 4: none of the above
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