Cash flows

Amazon.com, an Internet retailer, was incorporated and began operation in the mid-90s. On the statement of cash flows, would you expect Amazon.com’s net cash flows from operating, investing, and financing activities to be positive or negative for its first three years of operations? Use the following format for your answers, and briefly explain your logic.

First Year

Second Year

Third Year

Net cash flows from operating activities

negative

Net cash flows from investing activities

Net cash flows from financing activities