Solution-Explain the difference between net income and cash

Explain the difference between net income and cash flow

Reference no: EM131265135

Using the table below, explain the difference between net income and cash flow from operating activities for Techno in 2009 and analyze their cash flows for 2008 and 2009.

(in thousands)	2009	2008
Net income	$ 316,354	$ 242,329
Noncash charges (credits) to income
Depreciation and amortization	68,156	62,591
Deferred taxes	15,394	22,814
	$ 399,904	$ 327,734
Cash Provided (Used) by Operating Assets and Liabilities:
Receivables	(288,174)	(49,704)
Inventories	(159,419)	(145,554)
Other current assets	(1,470)	3,832
Accounts payable, accrued liabilities	73,684	41,079
Total Cash Provided by Operations	$ 24,525	$ 177,387
Investment activities
Additions to plant and equipment	(94,1760)	(93,136)
Other investment activities	14,408	(34,771)
Net investment activities	($ 79,768)	($ 127,907)
Financing activities
Purchases of treasury stock	(45,854)	(39,267)
Dividends paid	(49,290)	(22,523)
Net changes in short-term borrowing	125,248	45,067
Additions to long-term borrowings	135,249	4,610
Repayments of long-term borrowings		(250,564)
Net financing activities	$ 165,353	($ 262,677)
Increase (decrease) in cash	$ 110,110	($ 213,197)
Beginning cash balance	78,114	291,311
Ending cash balance	$ 188,224	$ 78,114

Reference no: EM131265135

Questions Cloud

Identify one or more of these high success methods : Identify one or more of these 'high success' methods, then describe how the method supposedly works? What are the levels of success this product or method claims to achieve? How much does this method/product seem to rely on personal stories/anecdot..

Necessary to formally document requirements : Explain why it is necessary to formally document requirements. How does this benefit the users and the developers?

Leading people and business processes : Based on your preferred leadership style, how would you handle this situation? What are some effective practices that you would use for leading people and business processes in this situation? In this situation, what is your role in the decision-mak..

How well did your experiment test the hypothesis : I have a paper need to be due soon, but i have two exams next week. Does anybody know spatial cognition area psychology or just psychology. The requirment is like pick a paper from paper list, and make hypothesis about it and test it.

Explain the difference between net income and cash flow : Using the table below, explain the difference between net income and cash flow from operating activities for Techno in 2009 and analyze their cash flows for 2008 and 2009

Find the equivalence classes of the chain : Show that 4 and 6 are transient states, and that the other states can be grouped into two recurrent classes to be specified. In the sequel, we let T = {4, 6}, C be the recurrent class containing 1, and C the other recurrent class. For all x, y ∈ E..

Either of his dependents qualifies for the child tax credit : Jeremy earned $220,000 in salary and $3,000 in interest income during the year. Jeremy has two qualifying dependent children who live with him. He qualifies to file as head of household and has $18,500 in itemized deductions. Neither of his dependent..

What would be the incremental income/loss per tin : Yumminess has asked Jordon and Taylor to consider making Extra Attack Brownies and Nutty Attack Brownies, in addition to Chocolate Attack Brownies. The selling price to Yumminess would be $12 and $14.50 per tin, respectively, compared to the original..

Is this a positive or negative correlation : Studies have shown that the longer people are married the more similar their political and social views become. Is this a positive or negative correlation? Provide an explanation.

User Account

All Pages

Explain the difference between net income and cash flow

Reference no: EM131265135

Reference no: EM131265135

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT