The Walt Disney Company reported the following in its 2008 annual report (in millions).

Required:
1. Calculate, to two decimal places, the average capital acquisitions ratio for the period covering 2006-2008.
2. Interpret the results of your calculations in requirement 1 . What do they suggest about the company's need for external financing to acquire property and equipment?

Transcribed Image Text:

2008 2007 2006 Net income $4,427 $4,687 $3,374 Net cash provided by operating activities 5,446 5,398 5,960 Purchase of parks, resorts, and other property (1,578) (1,566) (1,292)