a.Provide an interpretation of the cash flow calculation results. b. Based on the answer in point a, give a recommendation to the trading company "MARS" how should they use the cash flow. d. Perform...

a.Provide an interpretation of the cash flow calculation results. b. Based on the answer in point a, give a recommendation to the trading company "MARS" how should they use the cash flow. d. Perform an analysis of the financial condition of the "MARS" based trading company information contained in the cash flow statement and the value of free cash flow.Particular<br>Net cash flow from operating activities<br>|Less: Capital expenditure<br>Free cash flow<br>Amount $<br>61,300<br>36,300<br>25,000<br>

Extracted text: Particular Net cash flow from operating activities |Less: Capital expenditure Free cash flow Amount $ 61,300 36,300 25,000
F<br>G<br>MARS Company<br>5<br>Cash flow statement<br>For the year ended Dec 31, 2020<br>6 Particular<br>7 Cash flow from operating activities<br>8 Net income<br>9 Depreciation<br>10 Change in working capital<br>11 Decrease in accounts receivable<br>12 Decrease in inventory<br>| 13 Increase in tax payable<br>14 Decrease in accounts payable<br>15 Net cash flow from operating activities<br>Amount S<br>S 32,000<br>S 13,300<br>$ 19,000<br>S 10,000<br>S 1,000<br>S (14,000)<br>$ 61,300<br>16<br>17 Cash flow from investing activities<br>18 Sale of equipment<br>19 Purchase of equipment<br>|20 Net cash flow from investing activities<br>21<br>22 Cash flow from financing activities<br>23 Redemption in share capital<br>24 Increase in bond payable<br>25 Dividend paid<br>26 Difference in retained earning<br>27 Net cash flow from financing activities<br>28 Net change in cash and cash equivalent<br>29 Beginning balance of cash<br>30 Ending balance of cash<br>9,700<br>S (46,000)<br>S (36,300)<br>S (4,000)<br>6,000<br>S (20,000)<br>S (24,000)<br>S (42,000)<br>$ (17,000)<br>37000<br>S 20,000<br>31<br>

Extracted text: F G MARS Company 5 Cash flow statement For the year ended Dec 31, 2020 6 Particular 7 Cash flow from operating activities 8 Net income 9 Depreciation 10 Change in working capital 11 Decrease in accounts receivable 12 Decrease in inventory | 13 Increase in tax payable 14 Decrease in accounts payable 15 Net cash flow from operating activities Amount S S 32,000 S 13,300 $ 19,000 S 10,000 S 1,000 S (14,000) $ 61,300 16 17 Cash flow from investing activities 18 Sale of equipment 19 Purchase of equipment |20 Net cash flow from investing activities 21 22 Cash flow from financing activities 23 Redemption in share capital 24 Increase in bond payable 25 Dividend paid 26 Difference in retained earning 27 Net cash flow from financing activities 28 Net change in cash and cash equivalent 29 Beginning balance of cash 30 Ending balance of cash 9,700 S (46,000) S (36,300) S (4,000) 6,000 S (20,000) S (24,000) S (42,000) $ (17,000) 37000 S 20,000 31

Jun 06, 2022
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