review ford motor company 2016 statement of cash flow identi

review ford motor company 2016 statement of cash flow identify the major change for 2017. Will the cash from operation increase or decrease

Solution

Ans: On analysing the cash flow statement of Ford motor company of both 2017 and 2016 we found that there was increase in net cashflow from operating activities 3622 million dollar which was mainly due to hold in payment of accounts payable.

Other changes were net cash outflow from investing activities have been reduced on account of reduction in capital spending and lease payment. Financing cashflow also reduced as there was no fresh debt issue in 2016 and there was also high dividend payment.