Question: Pizza International Inc operates 700 family restaurants around the world

Pizza International, Inc., operates 700 family restaurants around the world. The company’s annual report contained the following information (in thousands):


Required:
1. Based on this information, compute cash flow from operating activities using the indirect method.
2. What were the major reasons that Pizza International was able to report positive cash flow from operations despite having a net loss?
3. Of the potential causes of differences between cash flow from operations and net income, which are the most important to financialanalysts?


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  • CreatedFebruary 27, 2015
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