Stormer Company reports the following amounts on its statement of cash flow: Net cash provided by operating activities was $37,000; net cash used in investing activities was $13,600 and net cash used in financing activities was $17,400. If the beginning cash balance is $6,800, what is the ending cash balance?

This is an addition and subtraction problem. We begin with the initial cash balance of $6,800. Next we are "provided" cash from various activities of $37,000. Based on the word used we can tell that this means we have to add this to our initial balance like so,

[tex]6,800 + 37,000 = 43,800[/tex]

Now our balance is $43,000. Next we are told that Net Cash "used" in investing activities is $13,600 and "used" in financing activities is $17,400. Based on this word we can tell that this money is being subtracted from our balance.

[tex]$43,000 - 13,600 - 17,400 = 12,800[/tex]

Finally, we can see that the ending cash balance is $12,800

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okpalawalter8 okpalawalter8 · Answer 2 · 2022-04-19T12:06:29+02:00

The ending cash balance is mathematically given as

X=12800

What is the ending cash balance?

Question Parameter(s):

Net cash provided by operating activities was $37,000

et cash used in investing activities was $13,600

in financing activities was $17,400

Generally, the equation for the ending balance is mathematically given as

X= Net increase in cash + beginning cash balance

Where

Net increase in cash =37000-(13600+17400)

Net increase in cash=

In conclusion

X=6000+6800

X=12800