Question 5 Explain why it is possible for a company to report a net profit after tax and have less cash in the bank at t

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Question 5
Explain why it is possible for a company to report a net profit
after tax and have less cash in the bank at the end of the year
than at the beginning of the year. Is it possible
for the reverse to happen – i.e. report a net loss but have more
cash in the bank at the end of the year than at the beginning of
the year? Give one example for each scenario
to illustrate your answer.
Word Limit: 250 words