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What Is the Operating Cash Flow, Given the Following Information

Question 65

Multiple Choice

What is the operating cash flow, given the following information?  Net income $600 Depreciation 70 Issuance of new stock 30 Repayment of debt 20 Sale of old equipment 40 Purchase of new equipment 60 Dividend payments 70 Interest Payments 100\begin{array} { | l r | } \hline \text { Net income } & \$ 600 \\\text { Depreciation } & 70 \\\text { Issuance of new stock } & 30 \\\text { Repayment of debt } & 20 \\\text { Sale of old equipment } & 40 \\\text { Purchase of new equipment } & 60 \\\text { Dividend payments } & 70 \\\text { Interest Payments } & 100 \\\hline\end{array}


A) $400
B) $470
C) $530
D) $540
E) $670

Correct Answer:

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