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Hospitality Cost Control

9 Shown below are totals of the three sections from the SCF for the N year just ended. Analyze this information and prepare a report indieed Motel regarding its sources and uses of cash and their impact on the future Your conclusions and recommendations should be supported with and assumptions. the g your opinion Statement of Cash Flows Net cash provided by operating activities Net cash provided by investing activities Net cash used by financing activities Increase in cash for the year Cash at beginning of year Cash at end of year S 505,000 150,000 500,000 $1,105,000 Problem 10 Shown below is the SCF for the Nimak Steakhouse Chain for the year just ended. Analvze this statement and prepare a report indicating your opinion regarding its sources and uses of cash and their impact on the future of the company. Your conclusions and recommendations should be supported with proper explanations and assumptions. Statement of Cash Flows Cash Flows from Operating Activities Net income $ 4,000 Adjustments to reconcile net income to net cash flow: $ 6,000 10,000 25,000 Depreciation Loss on sale of equipment Decrease in accounts receivable Decrease in inventories Decrease in prepaid expenses Increase in accounts payable Net cash provided by operating activities 1,000 18,000 S 67,000 Cash Flows from Investing Activities Proceeds from sale of store equipment Proceeds from sale of office equipment Net cash provided by investing activities Cash Flows from Financing Activities Cash borrowings Payment on cash borrowings Net cash provided by financing activities Increase in cash for the year Cash at beginning of year Cash at end of year

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