Case 4.2 Applied Material Comprehensive Analysis Case Using the Financial Statement Analysis Template

You will be using the Financial Statement Analysis Template that you started on in Case 1.2 so you need to locate that on your computer. You will also be using the 2013 Form 10-K for Applied Materials which you can locate at this link: Applied Materials 2013 10-K

(a) Input the data from the Applied Materials cash flow statement. When you have finished inputting the data, review the cash flow statement to make sure there are no red blocks indicating that your numbers do not match the cover sheet information you input from the Chapter 1 problem. There will be blanks on the cash flow statement and some lines will require you to add two lines together. At the bottom, you must finish the whole statement including the beginning cash balances. The summary analysis of the cash flow statements will automatically be created for you and you can find it by clicking on the tab at the bottom called summary of cash flows. You will be answering fill-in-the-blank questions using the cash flow statement and the summary.

(b) Using the cash flow statements, summary analysis and the Management Discussion & Analysis section of the Form 10-K, you will answer questions regarding the ability of Applied Materials to generate cash flows and the appropriateness of the use of cash flows.

This case also requires the total cash inflows and outflows, as well as percentages of the proceeds from operations, sales of marketable securities and short term investments, property, plant and equipment, repurchases of common stock/treasury stock, and lastly, payments of dividends to shareholders for the years of 2011, 2012, and 2013.