The difference between operating profit or loss after tax and net cash provided by operating activities is due to:

Question

Quizplus · Accepted Answer

The difference between operating profit or loss after tax and net cash provided by operating activities is primarily due to changes in working capital items such as accounts receivable, accounts payable, and inventory. These changes can impact cash flow as they may result in cash inflows or outflows, but do not necessarily impact operating profit or loss after tax. Changes in non-current assets, non-current liabilities, and equity items may also impact cash flow and operating profit or loss after tax, but these are not the primary drivers of the difference between the two measures.

The Difference Between Operating Profit or Loss After Tax and Net