Asked by Chae-Lynn Normore on May 16, 2024

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Last year Molex's net cash provided by operating activities was $14.1 million and its net cash used by investing activities was $20.7 million. If net cash provided by financing activities was $9.8 million, what was the net increase (or decrease) in cash during the year? Molex started the year with $2.1 million in cash.

A) $44.6 million
B) $3.2 million
C) $25.0 million
D) $5.3 million

Net Cash

The amount of cash available after accounting for cash inflows and outflows.

Financing Activities

Actions that result in changes in the size and composition of the equity capital or borrowings of the entity, as reflected in the company's cash flow statement.

Operating Activities

Day-to-day actions that are involved in running a business, such as selling products, managing expenses, and paying employees.

  • Understand the ramifications of shifts in operating, investing, and financing activities on cash flow.
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CN
Cloie NicoleMay 18, 2024
Final Answer :
B
Explanation :
The net increase in cash is calculated by adding net cash provided by operating activities ($14.1 million), net cash provided by financing activities ($9.8 million), and then subtracting net cash used by investing activities ($20.7 million). This results in a net increase of $3.2 million ($14.1 million + $9.8 million - $20.7 million = $3.2 million).