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Using the following information toanswer questions (short answer)Below are the 2017 and 2018 year-endbalance sheets for firm AAA:Assets: 2018 2017 Cash -------- 158,000Accountsreceivable 864,000 700,000Inventories 2,000,000 1,400,000Total currentassets $3,064,000 $2,270,000Net fixedassets 6,000,000 5,600,000Totalassets --------- -----------Liabilities and equity:Accountspayable $1,400,000 $1,090,000Notespayable 1,600,000 1,800,000Total currentliabilities $3,000,000 $2,890,000Long-termdebt 2,400,000 2,400,000Commonstock 3,000,000 2,000,000Retainedearnings 664,000 580,000Total commonequity $3,664,000 $2,580,000Total liabilities andequity ------------- ---------------Assume sales in 2017 and 2018 were thesame. 200,000 = depreciation. 500,000 = net income. No dividendpaid.1. Calculate net cash flow fromoperation.2. Calculate net cash flow frominvestment.3. Calculate net cash flow fromfinancing.4. Calculate net changes in cash
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