Martha Rosenbloom holds stock in several major corporations. Each year she receives a copy of the companies

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Martha Rosenbloom holds stock in several major corporations. Each year she receives a copy of the companies’ annual reports. She looks at the pictures, reads the discussion by management, and examines some of the primary financial statement numbers. She has a pretty good understanding of some of the financial statement information. She tells her friends that she doesn’t know how to make heads or tails of the statement of cash flows, however. She doesn’t understand how depreciation and changes in current assets and liabilities have anything to do with cash. A mutual friend, Arthur Doyle, has found out that you are taking accounting and asks you to help Martha. Write Martha a letter explaining the cash flow from operating activities section of the statement of cash flows found in most annual reports. Martha’s address is 945 Oak Lane, Anytown, USA.

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Financial Accounting Information For Decisions

ISBN: 978-0324672701

6th Edition

Authors: Robert w Ingram, Thomas L Albright

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