Question

a. Calculate (fill up) earnings before taxes, Net earnings, Total Liability and Equity.

b.

Using indirect method of cash flow calculation, determine (fill-up) the cash flow from operating

activities, cash flow from financing activities, cash flow investing activities and ending cash

balance for the financial year. (all the question mark).

c. As the user of financial information why do you think it is important to understand interlinkage

among cash flows statement, income statement and balance sheet? How would an increase in

depreciation of $100, impact these three statements?

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