I am working a case study and am uncertain how to go about addressing the below question?

On the 1995 statement of cash flows, one of the adjustments to net income was the change in Inventory. The cash flow statement lists the change as an increase of $16,544. However, subtracting the 1994 balance sheet amount from the 1995 amount yields a difference of $18,964. Explain why the two numbers are not the same.

Where should I begin to understand this problem?