Delaware Coatings Company uses the indirect method to prepare its statement of cash flows. Refer to the following information for the year 2019: Net cash provided by operating activities: $45,000
Net cash used for investing activities: $(29,000)
Net cash provided by financing activities: $2000
What is the net change in cash during the year?

Question

Quizplus · Accepted Answer

The net change in cash during the year can be calculated by adding the net cash provided by operating activities ($45,000) and the net cash provided by financing activities ($2,000) and subtracting the net cash used for investing activities ($29,000). This gives a net increase in cash of $18,000.

Delaware Coatings Company Uses the Indirect Method to Prepare Its