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Posted on Oct 06, 2024

a. P&G's 2019 statement of cash flow is presented using the indirect method format. Calculate P& G's cash conversion ration for 2019. What does the

a. P&G's 2019 statement of cash flow is presented using the indirect method format. Calculate P& G's cash conversion ration for 2019. What does the cash conversion ratio tell you about P&G's operating revenue? Is this good news or bad news? Why?

b. Calculate P&G's EBITDA, free cash flow, and discretionary cash flow for 2017,2018, and 2019. What can you conclude about P&G's cash position from these measures?

c. Calculate P &G's sustainable earnings before taxes for 2017, 2018, and 2019. What can you conclude about the persistence of P&G's earnings? image text in transcribed

5 1001256103 xdsx - Excel File Home Insert Page Layout Formulas Data Review View Tell me what you want to do... Ortiz, Judith A. , Share AutoSum . Times New Roman - 10 - A ' ' - - General Wrap Text X HH Fill- AYO Sort & Find & Filter Select Pasta Insert Format BIU... A Dalato Merge & Center $ % Conditional Format as Cal Formatting Table Styles 20 Claar- Clipboard Font Alignment Number Styles Cells Editing GS X fa B D E G H 2018 2019 2,569 $ F 2019 8.098 5.569 $ 7 3,966 2.824 9.861 2.834 346 395 (1.844) (176) 15.411 2.820 543 351 (601) (5,490) 515 (411) (678) 8.345 (276) (239) 1,856 (973) 313 15.242 (177) (188) 1.385 2.000 -131 14.867 (322) 71 (149) (43) 162 12.753 A 4 Amounts in millions: Years onded June 30 5 CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF YEAR S 6 OPERATING ACTIVITIES Net canings 8 Depreciation and mortization 9 Loss on carly extinguishment of debe 10 Se-based compensation expense 11 Deferred income taxes 12 Gain on sale of assets 13 Goodwill and indefinite-lived immable impul curges 14 Change in accounts receivable 15 Change in investorica 16 Change in accounts payable, accrued ad ollier Liabilities 17 Change in other operating Assets and liabilities 18 Other 19 TOTAL OPERATING ACTIVITIES 20 INVESTING ACTIVITIES 21 Capital expenditures Proceeds from asset sales 23 Acquisitions, of cas acquired 24 Purchases of short-term investments 25 Proceeds from sales and maturities of short-term investm.curs 26 Casli transferred al closing related to llue Beauty Braxds divestiline 27 Change in other investments 28 TOTAL INVESTING ACTIVITIES 29 FINANCING ACTIVITIES 30 Dividends to shareholders 31 Change in short-term debe 32 Additions to long-term delit 33 Reductions of long-term deht 34 Treasury stock pucluses 35 Impact of stock options and other 36 TOTAL FINANCING ACTIVITIES EFFECT OF EXCHANGE RATE CHANGES ON CASIL, CASII EQUIVALENTS AND 37 RESTRICTED CASH 38 CITANGE IN CASII, CASII EQUIVALENTS AND RESTRICTED CASTI 39 CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF YEAR s 40 41 SUPPLEMENTAL DISCLOSURE 12 Cash payments for + ... Cons Balance Sheet 1819 Cons Statement of SE 1819 Cons Statement of Cash 1819 (3.347) 394 (3,945) (158) 3,628 (3.717) 269 (109) (3.909) 3,928 571 (16) (4.843) 1,-188 (475) (26) ) (6.685) (62) (3,490) 27 (3.511) (7.498) (2,215) 2.367 (969) (5,003) 3.324 (9,994) (7.310) (3.137) 5.072 (2.873) (7.00) 1.177 (14,375) (7.230) 2.727 3.603 (4,931) (5.2010) 2.473 (8,568) 19 (88) 1.670 4.239 5 (3.000) 2.569 (29) (2.529) S.569 S Ready I EL 100% I Type here to search 0 07 WE XL P] 74F Mostly cloudy 5:20 PM 10/3/2021 2 22 5 1001256103 xdsx - Excel File Home Insert Page Layout Formulas Data Review View Tell me what you want to do... Ortiz, Judith A. , Share AutoSum . Times New Roman - 10 - A ' ' - - General Wrap Text X HH Fill- AYO Sort & Find & Filter Select Pasta Insert Format BIU... A Dalato Merge & Center $ % Conditional Format as Cal Formatting Table Styles 20 Claar- Clipboard Font Alignment Number Styles Cells Editing GS X fa B D E G H 2018 2019 2,569 $ F 2019 8.098 5.569 $ 7 3,966 2.824 9.861 2.834 346 395 (1.844) (176) 15.411 2.820 543 351 (601) (5,490) 515 (411) (678) 8.345 (276) (239) 1,856 (973) 313 15.242 (177) (188) 1.385 2.000 -131 14.867 (322) 71 (149) (43) 162 12.753 A 4 Amounts in millions: Years onded June 30 5 CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF YEAR S 6 OPERATING ACTIVITIES Net canings 8 Depreciation and mortization 9 Loss on carly extinguishment of debe 10 Se-based compensation expense 11 Deferred income taxes 12 Gain on sale of assets 13 Goodwill and indefinite-lived immable impul curges 14 Change in accounts receivable 15 Change in investorica 16 Change in accounts payable, accrued ad ollier Liabilities 17 Change in other operating Assets and liabilities 18 Other 19 TOTAL OPERATING ACTIVITIES 20 INVESTING ACTIVITIES 21 Capital expenditures Proceeds from asset sales 23 Acquisitions, of cas acquired 24 Purchases of short-term investments 25 Proceeds from sales and maturities of short-term investm.curs 26 Casli transferred al closing related to llue Beauty Braxds divestiline 27 Change in other investments 28 TOTAL INVESTING ACTIVITIES 29 FINANCING ACTIVITIES 30 Dividends to shareholders 31 Change in short-term debe 32 Additions to long-term delit 33 Reductions of long-term deht 34 Treasury stock pucluses 35 Impact of stock options and other 36 TOTAL FINANCING ACTIVITIES EFFECT OF EXCHANGE RATE CHANGES ON CASIL, CASII EQUIVALENTS AND 37 RESTRICTED CASH 38 CITANGE IN CASII, CASII EQUIVALENTS AND RESTRICTED CASTI 39 CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF YEAR s 40 41 SUPPLEMENTAL DISCLOSURE 12 Cash payments for + ... Cons Balance Sheet 1819 Cons Statement of SE 1819 Cons Statement of Cash 1819 (3.347) 394 (3,945) (158) 3,628 (3.717) 269 (109) (3.909) 3,928 571 (16) (4.843) 1,-188 (475) (26) ) (6.685) (62) (3,490) 27 (3.511) (7.498) (2,215) 2.367 (969) (5,003) 3.324 (9,994) (7.310) (3.137) 5.072 (2.873) (7.00) 1.177 (14,375) (7.230) 2.727 3.603 (4,931) (5.2010) 2.473 (8,568) 19 (88) 1.670 4.239 5 (3.000) 2.569 (29) (2.529) S.569 S Ready I EL 100% I Type here to search 0 07 WE XL P] 74F Mostly cloudy 5:20 PM 10/3/2021 2 22