Calculating and interpreting cash flow from operations. Selected data for Nokia, a Finnish cellular phone manufacturer, appear below (amounts in millions of Euros):

a. Compute the amount of cash flow from operations for each of the four years.

b. Discuss briefly the most important reasons why cash flow from operations differs from net income or net loss for each year.

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Year 8 Year 9 Year 10 Year 11 Net Income (Loss) 1,032 1,689 2,542 3,847 Depreciation Expense 465 509 665 1,009 Increase (Decrease) in: Accounts Receivable 272 1,573 982 2,304 Inventories 121 103 362 422 Prepayments (77) 17 33 (49) Accounts Payable 90 140 312 458 Other Current Liabilities 450 1,049 867 923