"Cash is King" for all businesses You can determine a company's cash situation by analyzing the 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) will need to generate cash by issulng new debt or selling its assets. If a firm has a lot of net cash fow, does that mean the firm's balance sheet cash account must be high? No Yes Three categories of activities (operating, investing, and financing) generate or use the cash flow in a company, in the following table, ldentily which type of activity is described by each statement. Globo-Chern Co. reported net sales of $600 million last year and generated a net incorne of $132.00 million. Last year's accounts receivable increased by $17 million. What is the maximum amount of cash that Giobo-Chem Co. received from sales last year? $149.00 milion 5291.50 mallion 5437.25 million $583.00 million