Question 43 (2 points) Saved The cash flow from operations and cash flow from investing are both positive. Which of the following best de the situation of Georgey? 2004 2005 Net income $189 $170 Adjustments to recondile net income to net cash provided by operating activities Depreciation and amortization 201 173 Deferred income taxes 14 (20 80 90 3020 (30) 50 Restructuring charges Accounts receivable Inventory Current liabilities 10 30 Cash flow from operations 494 513 3ca36359..ip, HW Ch8 Register. .doo n 200 300 Sale of equipment Purchase of equipment (130) (120) Cash flow from investing 70 180 Dividends (120) (130) Long-term debt (440) (440 Cash flow from financing (560) (570 The cash flow statement would indicate there are no reasons for concern. Repayment of long-term debt indicates the company is becoming more profitable. o Georgey appears to be liquidating assets of the company that may affect futur profitability. Increased operating and investing cash flows in 2005, relative to 2004, indicate increased profitability of Georgey in 2005