Hampton Industries had $68,000 in cash at year-end 2020 and $16,000 in cash at year-end 2021. The firm invested in property, plant, and equipment totaling $170,000 - the majority having a useful life greater than 20 years and falling under the alternative depreciation system. Cash flow from financing activities totaled +$100,000. Round your answers to the nearest dollar, if necessary. a. What was the cash flow from operating activities? Cash outflow, if any, should be indicated by a minus sign. b. If accruals increased by $35,000, receivables and inventories increased by $195,000, and depreciation and amortization totaled $13,000, what was the firm's net income? $

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Hampton Industries had $68,000 in cash at year-end 2020 and $16,000 in cash at year-end 2021. The firm invested in property, plant, and equipment
totaling $170,000 - the majority having a useful life greater than 20 years and falling under the alternative depreciation system. Cash flow from
financing activities totaled +$100,000. Round your answers to the nearest dollar, if necessary.
a. What was the cash flow from operating activities? Cash outflow, if any, should be indicated by a minus sign.
b. If accruals increased by $35,000, receivables and inventories increased by $195,000, and depreciation and amortization totaled $13,000, what
was the firm's net income?
Transcribed Image Text:Hampton Industries had $68,000 in cash at year-end 2020 and $16,000 in cash at year-end 2021. The firm invested in property, plant, and equipment totaling $170,000 - the majority having a useful life greater than 20 years and falling under the alternative depreciation system. Cash flow from financing activities totaled +$100,000. Round your answers to the nearest dollar, if necessary. a. What was the cash flow from operating activities? Cash outflow, if any, should be indicated by a minus sign. b. If accruals increased by $35,000, receivables and inventories increased by $195,000, and depreciation and amortization totaled $13,000, what was the firm's net income?
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