The Chief Operating Officer where you work does not understand why the company should waste their time in preparing the statement of cash flows. He wants to have a better understanding of this financial statement and asks you to do the following:
- Select two companies in the same industry, and use the Internet to find their current statement of cash flows; provide citations for both.
- For each company, answer the following questions:
- Which method do they each use when calculating the net cash provided by operating activities?
- What was the most significant item reported by each company in their investing section and in their financing section?
- What were the companies trends in net cash provided by operating activities during this period of time?
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Grading Criteria |
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15% |
Select two companies in the same industry, and use the Internet to find their current statement of cash flows; provide citations for both. |
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15% |
Which method does each company use when calculating the net cash provided by operating activities? |
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15% |
What was the most significant item reported by each company in their investing section and in their financing section? |
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15% |
What were each companies trends in net cash provided by operating activities during this period of time? |
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20% |
Additional research supporting the initial answer to the IP by using references which are cited in the IP |
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20% |
Justified ideas and responses by using appropriate examples or personal experience. |