Analyzing annual reports: cash flows (on basic materials) 300 words | business | Hartnell Community College District

 

Each of you should access the annual report (or Form 10-K filed with the SEC) for a basic materials publicly traded company. Found in SEC Links to an external site.and clicking on “Company Filings Search” and then entering the “Company name.” Then look for the “10-K” reports needed.

Answer all of the following questions about your company based on the Annual 10-K Report:

  1. As this chapter explained, many companies that report net losses on their earnings (income) statements report yet have positive cash flows from operating activities. How do your company’s net incomes compare to its cash flows from operating activities?
  2. Based only on the information in the statements of cash flows, does your company appear to be growing the capacity of its business? Explain.
  3. All things considered, based on the information in its statements of cash flows, does your company’s cash position appear to be improving or deteriorating? Explain.