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-   -   Cash flow from Assets (https://www.askmehelpdesk.com/showthread.php?t=399558)

  • Sep 24, 2009, 02:20 PM
    epolonka
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    Cash flow from Assets
    I have tried to complete the following question. However, when I add cash to creditors and cash to shareholders it does not equal the cash flow from assets. I have gone over my work numerous times and I cannot figure out what I am doing wrong.

    Thank you in advance.
  • Sep 24, 2009, 10:18 PM
    morgaine300

    Can't say as I understand that method of cash flow. I've seen it only once before and really think it's a lot harder to figure out than the method I know. (And there isn't a thing on there that shows where the actual 1745 in cash came from. Weird.)

    But I messed with it to see what I could find.

    Even though I don't understand the method that well, fortunately your mistake was an easy one to find. You forgot the capital surplus in your "net new equity." Keep in mind that just because it's separated out, you still got cash for it.

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