"Cash Is King" for all businesses You can determine a company's cash situation by analyzing its cash flow statement. The cash flow statement also helps determine whether the company (1) is generating enough cash from its operations to make new investments and pay dividends or (2) wall need to generate cash by issuing new debt or selling its assets. A firm has $20 million in revenues. Does that mean it has yenerated a cash flow of $20 million? No Yes: The statement of cash flows reports a company's cash inflows and outflows for a given accounting period by categorizing the company's sources (inflows) and uses (outfows) of cash as either operating, investing, or financing activities. Determine whether the activities described in the following table should be categorized as operating, investing, or financing activities in the statement of cosh flows. The statement of cash flows reports a company's cash inflows and outflows for a given accounting period by categorizing the company's sourtes infiows) and uses (outfows) of cash as either operating, investing, or financing activities. Determine whether the activities described in the following tabie should be categorized as operating, investing, or financing activities in the statement of casth flows: Cold Goose Metal Works Inc. reported net sales of $6,000,000 last year and generated a net income of $1,500,000. Last year's accounts receivable increased by $170,000. What is the maximum amount of cash that cold Goose received from sales last year? $5,830,000 $2,915,000 51,670,000 54,372,500