Question

Below are summary cash flow statements for three roughly equal-sized companies.

	($ millions)
	A		B		C
Net cash flows from operating activities	(311	)	(311	)	322
Net cash used in investing activities	(911	)	(41	)	(101	)
Net cash from financing activities	1,310		232		(251	)
Cash balance at beginning of year	161		161		161

a. Calculate each company’s cash balance at the end of the year. (Enter your answers in millions.)

Answer 1

Cash Balance at the end of year = Cash balance at the begining of the year + Net CF from operating activities + Net CF from investing Activities + Net CF from Financing activities

Particulars	A ( in M)	B ( in M)	C ( in M)
Cash Bal at the beginning of year	$    161.00	$ 161.00	$ 161.00
CF from operating Activities	$ -311.00	$ -311.00	$ 322.00
CF from investing Activities	$ -911.00	$   -41.00	$ -101.00
CF from financing Activities	$ 1,310.00	$ 232.00	$ -251.00
Cash Bal at the end of year	$    249.00	$    41.00	$ 131.00