CFAI Reading 34, Problem 15

[kant]

The errata says: “Also, on p. A-12, there is a typo in the solution to Problem 15. In the last line, the answer should total $45 million rather than $25 million.”
The question specifically asks for, “cash flow from operations”. I do the calculation as 25+25-5-3-7=35. They are getting 45 because they are adding the 10 million for “company declared and paid cash dividends of $10 million” to CFO.
I get 35 million because I’m not adding dividends paid to CFO. Dividends paid is a part of CFF. Am I missing something here?

 

[mcf]

Dividends paid can also be considered CFO according to IFRS. That’s my only thought.

 

[kant]

That can’t be it. We’re supposed to assume it’s US GAAP unless otherwise noted.
Are there any other thoughts on this? I’m going to call CFAI on Monday to see if it’s another mistake.

 

[Dreary]

But CFO is calculated before dividends, so NI was $35 not $25.