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- Question 5 (6 points) Cash and Inventory Management a. As part of a short-term financial planning project, Account This Inc. would like to determine

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- Question 5 (6 points) Cash and Inventory Management a. As part of a short-term financial planning project, Account This Inc. would like to determine how much its cash balance has changed as a result of operating, financing, and investing activities. It has made the following cash flow entries: Net Income: $1,000 Dividends: $600 Increased Inventory: $80 Increased Receivables: $100 Depreciation: $60 Increased Payables: $45 Increased Long-Term Debt: $200 Increased Fixed Assets: $475 Indicate whether the cash flow entries above represent a source of cash (cash inflow) or a use of cash (cash outflow) by writing out the cash flow activity (example: "Dividends) and then putting an "S" (Source) or a "U" (Use) beside it. Each of the cash flow activities above is worth 0.5 marks (4 marks) $475 Indicate whether the cash flow entries above represent a source of cash (cash inflow) or a use of cash (cash outflow) by writing out the cash flow activity (example: "Dividends") and then putting an "S" (Source) or a "U" (Use) beside it. Each of the cash flow activities above is worth 0.5 marks (4 marks) b. Name (1 mark) and explain (1 mark) the two costs associated with managing inventory

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