19. The first step in cash flow statement analysis should be to: (15) determine operating cash flow drivers. evaluate consistency of cash flows. identify the major sources and uses of cash. 20. Which of the following would be valid conclusions from an analysis of the cash flow statement for Telefnica Group presented in Exhibit 3? (14) The primary source of cash is operating activities. The primary use of cash is financing activities. Telefnica classifies dividends paid as an operating activity. 21. Which is an appropriate method of preparing a common-size cash flow statement? (14) Show each line item on the cash flow statement as a percentage of net revenue. Show each line item on the cash flow statement as a percentage of total cash outflows. Show each item of revenue and expense as a percentage of net revenue. 22. Which of the following is an appropriate method of computing free cash flow to the firm? (15) Add operating cash flows to after-tax interest payments and deduct capital expenditures. Add operating cash flows to capital expenditures and deduct after-tax interest payments. Deduct both after-tax interest payments and capital expenditures from operating cash flows