5. [Preparation of cash flow statement-direct and indirect methods; CFA adapted] The balance sheet and income state-

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5. [Preparation of cash flow statement-direct and indirect methods; CFA adapted] The balance sheet and income state- ment for the Green Company are presented in Exhibit 3P-2.

a. Based on the financial statements provided, prepare a state- ment of cash flows for 2001 using the (1) Indirect method (ii) Direct method

b. Calculate the company's free cash flow.

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The Analysis And Use Of Financial Statements

ISBN: 9780471375944

3rd Edition

Authors: Gerald I. White, Ashwinpaul C. Sondhi, Haim D. Fried

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