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#15 Kabutell, Inc. had net income of $750,000, cash flow from financing activities of $50,000, depreciation expenses of $50,000 and cash flow from operating activities

#15 Kabutell, Inc. had net income of $750,000, cash flow from financing activities of $50,000, depreciation expenses of $50,000 and cash flow from operating activities of $575,000.

  1. Calculate the quality of earnings ratio. What does this ratio tell you?

  2. Kabutell, Inc. reported the following in its annual report for 2011-2013

($ million) 2011 2012 2013

Cash Flow form Operations $478 $403 $470

Capital Expenditures (CAPEX) $459 $477 $456

Calculate the average capital acquisitions ratio over the three-year period. How would you interpret these results?

What is Kabutell

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