An analyst gathered the following information from a company’s 2005 financial statements ($ millions):
|
Balance as of year Ended 31 December |
2004 |
2005 |
|
Retained earning |
120 |
145 |
|
Accounts receivable |
38 |
43 |
|
Inventory |
45 |
48 |
|
Accounts payble |
36 |
29 |
The company declared and paid cash dividends of $10 million in 2005 and recorded depreciation expense in the amount of $25 million for 2005. The company’s 2005 cash flow from operations ($ millions) was closest to
a. 25.
b. 35.
c. 45.