Financial & Managerial Accounting 17th Edition by Jan Williams ,Susan Haka,Mark Bettner,Joseph Carcello

Exercise 43

Using a Statement of Cash Flows
Wallace Company's statement of cash flows for the current year is summarized as follows:

a. Briefly explain what is included in each of the first three categories listed (i.e., the cash from operating, investing, and financing activities categories).
b. On the basis of the limited information presented above, describe the company's change in cash position during the year and your interpretation of the strength of the company's current (end-of-year) cash position.