I am having a problem with explaining why did net income increase while the balance decreased using the information in my July sales changes from 116 to 118, including figures.

If you read my first explanation, not very well done. Can someone please help with a better expalantion?

Thank you,

k

A After Changing the Sales forecast numbers July # Changes went from B C D Explanation Ending Cash Balance Net Income Total Assets E 115.000 29.487 -0.563 233.267 233.695 After Changing the Sales forecast numbers 116.000 Ending Cash Balance 29.515 Net Income -0.472 Total Assets 233.695 Net Income Total Assets -0.472 233.695 July # Changes went from F G 116.000 29.515 increase -0.472 increase H 118.000 29.009 Decrease -0.276 increase 233.989 increase -0.276 increase 233.989 increase I J KL M N O P Q Since the net Income includes non-cash expenses such as insurance and depreciation, it is not equal to the amount of cash flow produced in the month of July. Because operating cash flow begins with net income, the changes in net income affects cash flow from operating activities