The 3M Company is a global diversified technology company active in the following product markets: consumer and

Question:

The 3M Company is a global diversified technology company active in the following product markets: consumer and office; display and graphics; electronics and communications; health care; industrial; safety, security, and protection services; and transportation. At the consumer level, 3M is probably most widely known for products such as Scotch Brand transparent tape and Post-it notes. Exhibit 12.12 presents information from the statement of cash flows and income statement for the 3M Company for 2013 to 2015. From 2013 through 2015, 3M decreased cash and cash equivalents. The interest income reported by 3M pertains to interest earned on cash and marketable securities. 3M holds only small amounts of investments in marketable securities. 3M's income tax rate is 35%.

REQUIREDa. Beginning with cash flows from operating activities, calculate the amount of free cash flows to all debt and equity capital stakeholders for 3M for 2013, 2014, and 2015.b. Beginning with cash flows from operating activities, calculate the amount of free cash flows 3M generated for common equity shareholders in 2013, 2014, and 2015.c. Reconcile the amounts of free cash flows 3M generated for common equity shareholders in 2013, 2014, and 2015 from Requirement b with 3M's uses of cash flows for equity shareholders, including share repurchases and dividend payments.

Stakeholders
A person, group or organization that has interest or concern in an organization. Stakeholders can affect or be affected by the organization's actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees,... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...

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