Elements of the statement of cash flows: discussion forum

 

This week we are studying the statement of cash flows. Operating cash flow represents the cash that flows in and out of the company on a day-to-day basis. For example, cash inflows come from collected revenues and cash outflows occur when the firm pays its normal day-to-day expenses.  We, of course, would prefer to see a positive total on the net cash provided by operating activities, because it implies that cash inflows are greater than cash outflows. In your textbook, the author discusses 4 financial ratios associated with operating cash flows; please study these ratios. Remember that the denominator on the ratio operating cash flow/current maturities of long-term debt is being revised to current liabilities; therefore, we will report the ratio as operating cash flow/current liabilities (see discussion on Page 3 of the Module 5 lesson).

This week, find the statement of cash flow for a firm of your choosing and report the cash flow ratios.  Please report and discuss 3 years of ratios for the three ratios related to debt and dividends but only the current year’s cash flows per share.  Show numerators and denominators for all ratios and then discuss their economic meaning. It is possible that your firm does not pay dividends (you will see dividends in the financing section of the cash flow statement).

The cash flow per share ratio is particularly challenging since most of the numbers in the statements are in thousands or millions (look at the top of the statement for a note) while the number of shares outstanding only for the current year (in yahoo.finance, under your firm’s page, look in “Key Statistics” and you will find the number of shares in the right-hand column about halfway down the page).  You only have to report ONE YEAR on the cash flow per share.  Please do not report on Nike, as that will be the firm posted as an example.  Again, please do not duplicate firms by including the name of your chosen firm in the title to your post.  Also, please respond to questions/comments from your instructor regarding your post. 

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more