FINANCIAL ACCOUNTING>IC<
FINANCIAL ACCOUNTING>IC<
15th Edition
ISBN: 9781119344988
Author: Kimmel
Publisher: WILEY C
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Chapter 12, Problem 12Q
To determine

Case Study:

M Company has experienced net loss of $800,000 during last year. But, the cash balance of the company has increased by $300,000 during the same period.

To explain: The possible reason as of how cash flow would increase even is the company incurs a loss.

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The executives at Peach, Inc., are confused. The company reports a net loss of $200,000, and yet its net cash flow from operating activities increased $300,000 during the same period. Is this possible? Explain.
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Chapter 12 Solutions

FINANCIAL ACCOUNTING>IC<

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