Falls Jewelry Co.
	Statement of Cash Flows
	Year Ended December 31
	(000s)	2021		2022
	Cash flow provided (used) by operating activities
	Net Income	$ 68,800		$ 70,400
	Adjustments to Net Income for operating activities
	Add back depreciation	13,000		16,000
	Increase in Accts Receivable	(5,000)		(33,600)
	Increase in Inventory	(6,000)		(15,000)
	Increase in Accts Payable	2,000		6,000
	Cash flow provided by operating activities	72,800		43,800
	Cash flow provided (used) by investing activities
	Purchase of P P & E	(20,000)		(120,000)
	Cash flow used by investing activities	(20,000)		(120,000)
	Cash flow provided (used) by financing activities
	Debt Issuance (Proceeds from Borrowing)	-		100,000
	Repayment of Debt	(10,000)
	Payment of dividends	(41,800)		(41,800)
	Cash flow provided by financing activities	(51,800)		58,200
	Net Increase (decrease) in cash	$ 1,000		$ (18,000)
	Beginning Cash	19,000		20,000
	Ending Cash	$ 20,000		$ 2,000
6.	What observations would you make regarding the cash flow statement (at least 2)?
	Do not repeat an observation from your balance sheet analysis.