Based upon our readings in Ross, Westerfield, Jaffe and Jordan (2019) we come to an understanding that the economic environment may affect a project or a firm's cash flows including interest, inflation and growth rates; and how decision trees, break-even analysis, and/or the use of hidden options (such as the option to expand, the option to abandon, and the timing options) can be useful in forecasting and mitigating impacts from the projected economic environment.

Locate the 2020 Annual Report for Kimberly-Clark (hint: Google) and go through the report and the firm's four financial statements (Balance Sheet, Income Statement, Cash Flow Statement, and Statement of Stockholders' Equity). What do the financial statements tell you about Kinberly-Clark's growth in revenues and profits, its liquidity, and its financial leverage and associated risks?What does Kimberly-Clark do with its cash flows?Provide examples with specific numbers. Additionally, locate one or more notes in the report that addresses how the firm handled/addressed issues related to one of the following: Inflation, Interest Rate Risk, or the firm's Growth Rate. Be sure and reference the main paragraph or page number from the report that you are addressing in your commen