The current period statement of cash flows includes the following: $\begin{array}{lr}
\text { Cash balance at the beginining of the period } & \$ 310,000 \
\text { Net cash flow from operating activities } & 185,000 \
\text { Net cash flow used for investing activities } & 43,000 \
\text { Net cash flow used for financing activities } & 97,000
\end{array}$
The cash balance at the end of the period is
A) $45,000
B) $635,000
C) $355,000
D) $125,000

Question

The current period statement of cash flows includes the following: $\begin{array}{lr}
\text { Cash balance at the beginining of the period } & \$ 310,000 \
\text { Net cash flow from operating activities } & 185,000 \
\text { Net cash flow used for investing activities } & 43,000 \
\text { Net cash flow used for financing activities } & 97,000
\end{array}$ 
 The cash balance at the end of the period is
A) $45,000
B) $635,000
C) $355,000
D) $125,000

Quizplus · Accepted Answer

The cash balance at the end of the period is calculated by adding the net cash flow from operating activities and subtracting the net cash flows used for investing and financing activities from the cash balance at the beginning of the period. Thus, $310,000 + $185,000 - $43,000 - $97,000 = $355,000.

The Current Period Statement of Cash Flows Includes the Following