Hi can someone explain (please include full explanation) :

1. why decrease in equity is a negative sign in financing activities ? and what causes a decrease in equity?

2. Why decrease in debt is a negative sign in financing activities? what causes a decreases in debt ?

Cash Flow Analysis Solution Investing activities Capital asset acquisitions Capital asset disposals Net capital asset acquisitions Other investing cash flows Investing cash flow Financing activities Increase in debt Decrease in debt Other debt movements Increase in equity Decrease in equity Other equity movements Other financing cash flows Financing cash flow Year 1 (2,561) 664 (1,897) (65) (1,962) (109) (6) 123 (59) (441) 14 (478) Year 2 (2,852) 809 (2,043) (300) (2,343) 4,743 (4.559) 84 156 (490) (467) (18) (551) Year 3 (3,442) 1,056 (2,386) (568) (2,954) 9,333 (7,593) 87 154 (775) (794) (55) 357 Year 4 (4,487) 994 (3,493) (2,481) (5,974) 7,387 (2,733) (18) 130 (265) (766) 3,735 Year 5 (2,855) 1,820 (1,035) (842) (1,877) 862 (3,601) (41) 167 (24) (921) (3,558)