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You can determine a company's cash situation by analyzing the cash flow statement. The cash flow statement also helps determine whether the company (1) is generating enough cash from its operations to make new investments and pay dividends or (2) will need to generate cash by issuing new debt or selling its assets A firm has $100 million in revenues. Does that mean it has generated a cash flow of $100 million? Yes No Three categories of activities (operating, investing, and financing) generate or use the cash flow in a company. In the following table, identify which type of activity is described by each statement. Operating Activity Investing Activity Financing Activity Yum Brands distributes dividends to its common stockholders for the first time Fitzi Chemical Co. earns revenue from its cash receipts from royalties A company records a loss of $70,000 on the sale of its outdated inventory A company buys some common stock in its supplier's firm with its extra cash During the last year, Dual Purposes Products Co. generated $702 million in cash flow from operating activities and had negative cash flow generated from investing activities (-$384 million). At the end of the first year, Dual Purposes Products Co. had $120 million in cash on its balance sheet, and the firm had $330 million in cash at the end of the second year. What was the firm's cash flow (CF) due to financing activities in the second year? -$108.00 million O $81.00 million -$54.00 million $135.00 million

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