Answer
Step1:
The Major sources of inflow of cash as follaws:
a) Operating activities
b) Investing activities
c) Financing activities
Step2:
The Major uses (outflows) of cash are as follows:
a) Operating activities
b) Investing activities
c) Financing activities
Work Step by Step
Step1:
a) Operating activities are the cash generated from revenues and expenses. These are the cash generated through net income.
b) Investing activities are the cash received from disposing of investments and property, plant and equipment. It also includes receipts from collecting the loans.
c) Financing activites are the cash obtained from issuing debt. This also includes cash receipts from stockholders, repurchasing shares.
Step2:
a) Operating activities indicates the cash outflow from transactions that involve revenues and expenses. These are the cash outflows from net losses.
b) Investing activities gives the outflow by acquiring investments and property, plant and equipment. It also includes repayments of loans repaid.
c) Financing activities are the repaying the amounts borrowed. This also includes repurchasing shares and paying dividends
