A house painting business had revenues of $17,800 and expenses of $10,800. There
ID: 2714355 • Letter: A
Question
A house painting business had revenues of $17,800 and expenses of $10,800. There were no depreciation expenses and no taxes. However, the business reported the following changes in working capital: Beginning End Accounts receivable $3,000 $6,300 Accounts payable 1,060 480 Calculate net cash flow for the business for this period. Net cash flow $A house painting business had revenues of $17,800 and expenses of $10,800. There were no depreciation expenses and no taxes. However, the business reported the following changes in working capital:
Explanation / Answer
Computation of Net cash flows
Particulars amount($)
Net profit 7000
less : increase in accounts receivable (3300)
decrease in accounts payable (580)
Net cash flow 3120.