The Manon Corporation is an electronic component manufacturer. The company has been in business for 10 years and is located in Northern Ontario. The business is family owned and operated. The last fiscal year provided the following cash flow statement section totals: Manon Corporation Cash Flow Statement Cash from operations $600,000 Cash from financing activities 300,000 Cash used in investing activities (700,000)

Increase in cash $200,000 Required a) There was depreciation expense of $100,000, in what cash flow section would you see depreciation and explain if depreciation is added or subtracted when calculating the total. b) In which cash flow section would you see the purchase and additions to property and equipment? c) Provide your opinion on the cash flow statement and signify if the business is generating sufficient cash for their needs.