"Cash Is King" for all businesses You can determine a company's cash situation by analyzing the cash flow statement. The cash flow statement als helps determine whether the company (1) is generating enough cash from its operations to make new investments and pay dividends or (2) will need to generate cash by issuing new debt or selling its assets. Which of the following is true for the statement of cash flows? It reflects revenues when earned. It reflects cash generated and used during the reporting period. Three categories of activities (operating, investing, and financing) generate or use the cash flow in a company. In the following table, identify which type of activity is described by each statement. Operating Activity Investing Activity Financing Activity 0 0 0 Yum Co. uses cash to repurchase 10% of its common stock Fitzi Chemical Co. earns revenue from its cash receipts from royalties. A company records a decrease in its total raw materials inventory from the previous year. A pharmaceutical company buys marketing rights to sell a drug exclusively in East Asian markets, 0 0 0 0 During the last year, Exeter Enterprise Inc, generated $1,170 million in cash flow from operating activities and had negative cash flow generated from investing activities (-$640 million). At the end of the first year, Exeter Enterprise Inc. had $200 million in cash on its balance sheet, and the firm had $280 million in cash at the end of the second year. What was the firm's cash flow (CF) due to financing activities in the second year? O -$450.00 million O $337.50 million O -$225.00 million $562.50 million