ACCOUNTING 202

DUE DATE: Sunday, Nov 27 (11:59 P.M.)

ANNUAL REPORT PROJECT

NAME:

General project instructions:

Please read this document carefully, if you submit the assignment incorrectly and are asked to resubmit it for any reason, it will be considered as at least one day late.

Complete this document using the annual report that you downloaded for Part 1.

Do not create a new or separate document; just complete the one I provide. Almost all the information for this project should come from your companys annual report.

Throughout all the parts of the project, information is requested from specific pages in the annual report. You will need to take a readable screenshot or picture of the page(s) requested and insert it in this document where requested.

If you need help taking a screenshot please watch this video: https://youtu.be/EoTpIYLBtKs

If you need help cropping, or sizing, a screenshot please watch this video: https://youtu.be/BkeBauCpuUg

When a question asks you to explain, describe, analyze, etc., use complete sentences and well-organized paragraphs.

Part 5 (20 pts.) (Use the same company for all parts of the project.)

Name of company chosen: ________General Motors_________________________

(You will use the same company for all parts of the project)

Year of the annual report: _31 December, 2015_____________

CHAPTERS 12 and 13: STATEMENT OF CASH FLOWS AND INTERPRETING FINANCIAL STATEMENTS

A. THE BASICS

Locate the companys statement of cash flows in your companys annual report.

On what page of the annual report does the statement appear? _______

(Insert screen shot here to support your answers. One screen shot may answer questions 2 5.)

What was the net cash flow from operating activities on the annual reports statement of cash flows?

Current year amount: $ _________ Previous year amount: $__________

Was it an inflow (provided) or an outflow (used) of cash?

Current year: _______________ Previous year: _______________

What was the net cash flow from investing activities on the annual reports statement of cash flows?

Current year amount: $ _________ Previous year amount: $__________

Was it an inflow (provided) or an outflow (used) of cash?

Current year: _______________ Previous year: _______________

What activity was the largest cash flow (either inflow or outflow) from investing activities in the annual reports current year?

___________________________________________________________________

Was it an inflow (provided) or an outflow (used) of cash? _________________

What was the net cash flow from financing activities on the annual reports statement of cash flows?

Current year amount: $ _________ Previous year amount: $__________

Was it an inflow (provided) or an outflow (used) of cash?

Current year: _______________ Previous year: _______________

What activity was the largest cash flow (either inflow or outflow) from financing activities in the annual reports current year?

____________________________________________________________________

Was it an inflow (provided) or an outflow (used) of cash? ____________________

B. FURTHER ANALYSIS

Using the formulas given in the textbook, calculate the following ratio for the last two years. Refer to page 603. Remember, if you need them you will find prior years amounts in the Five-Year Summary of Selected Financial Data that you found in Part 1. Show your computations.

1. Liquidity:

Make sure to show your work.

Current ratio calculations for two years:

Annual Report: Current year ______________________ Previous year ____________________

Explain what information this ratio provides. Why do we use it?

How do the results for your company compare by year? Which current asset or current liability had the largest change? Explain and give possible reasons for what youve found. (at least one paragraph)

2. Solvency:

Make sure to show your work.

Debt ratio (NOT the debt-to-equity) calculations for two years:

Annual Report: Current year ______________________ Previous year ____________________

Explain what information this ratio provides. Why do we use it?

How do the results for your company compare by year? Which asset or liability had the largest change? Explain and give possible reasons for what youve found. (at least one paragraph)

3. Profitability:

Make sure to show your work.

Profit margin ratio calculations for two years:

Annual Report: Current year ______________________ Previous year ____________________

Explain what information this ratio provides. Why do we use it?

How do the results for your company compare by year? Which item(s) on the income statement had the largest change? Explain and give possible reasons for what youve found. (at least one paragraph)

How to submit this assignment:

Complete and submit this document in Canvas on or before the due date. Do not create a new or different document.

Use this link to get to annual report