Xy made an operating profit of $185,500 after charging depreciation of $31,200

Finance Jan 14, 2021

Xy made an operating profit of $185,500 after charging depreciation of $31,200. During that year, trade payable increased by $26,600 and inventory increased by $40,300. There was no change to trade receivables. Assuming that no other factors affected it, the cash generated from operations would have been:

Expert Solution

Particulars	Amount $
Operating profit	185500
Add: Depreciation	31200
Add: Increase in Trade Payable	26600
Less : Decrease in Inventory	-40300

Cash generated from Operations		203000

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