The president of Fallen Down Gold Mines stated, The company does not have sufficient cash to pay

Question:

The president of Fallen Down Gold Mines stated, "The company does not have sufficient cash to pay its $2 million in 2010." During his speech, he said that cash inflows from operations are expected to be $2,500,000, cash outflows from investing are expected to be $(1,400,000), and cash inflows from financing are expected to be $500,000.
Required:
(a) How might you determine whether the president's statement is accurate?
(b) What is the minimum amount of the opening cash balance required in order to pay the $2 million and remain with a cash balance of $350,000 at the end of this year? Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...