OPERATING ACTIVITIES Net Income $600,000 Depreciation 60,000 Change in Accounts Receivable (220,000) Change in Inventory 25,000 Change in Other Current Assets (50,000) Change in Accounts Payable 80,000 Change in Accruals (45,000) CASH FLOW FROM OPERATIONS 450,000 INVESTING ACTIVITIES P, P, & E Purchases (50,000) Disposal of P, P, & E 48,000 CASH FLOW FROM INVESTING (2,000) FINANCING ACTIVITIES Sale of capital stock 92,000 Repurchase of capital stock (44,000) Change in Borrowings (106,000) Payment of Dividends (52,000) CASH FLOW FROM FINANCING (110,000) NET CHANGE IN CASH $338,000 Which of the options provided is NOT true regarding Company J? Company J has positive cash flows from operations because it has a consistent and steady stream of revenue. Company J has neutral cash flows from investing as the company has no investing activities. Company J has negative cash flows from financing because cash generated through operations is sufficient to cover investment needs and excess cash is used to pay loans or dividends