Homework Sourse36 In the statement of cash flows the sum total of the net c
36. In the statement of cash flows, the sum total of the net cash provided by operating activities, investing activities, and financing activities would be equal to:
a. Zero
b. The beginning balance of cash and cash equivalents
c. The ending balance of cash and cash equivalents
d. The increase or decrease in cash and cash equivalents
36. In the statement of cash flows, the sum total of the net cash provided by operating activities, investing activities, and financing activities would be equal to:
a. Zero
b. The beginning balance of cash and cash equivalents
c. The ending balance of cash and cash equivalents
d. The increase or decrease in cash and cash equivalents
36. In the statement of cash flows, the sum total of the net cash provided by operating activities, investing activities, and financing activities would be equal to:
a. Zero
b. The beginning balance of cash and cash equivalents
c. The ending balance of cash and cash equivalents
d. The increase or decrease in cash and cash equivalents
Solution
Ans is d. The increase or decrease in cash and cash equivalents
Explanation: In the statement of cash flows first cash used or provided by all three activities is calculated and at the end all three are summed together to know the increase or decrease in cash balance during the period, this increase or decrease then added to beginning balance of cash to reconcile it with the ending cash balance.
