(In thousands) Co. X Co. Y Co. Z Cash inflow (outflow) from operating activities: 64,000 56,000 (27,200) Cash inflow (outflow) from investing activities: Proceeds from sale of plant and equipment 28,800 Purchase of plant and equipment (30,400) (28,000) Cash inflow (outflow) from financing activities: Proceeds from issuance of debt 26,400 Repayment of debt (5,600) Net increase (decrease) in cash 28,000 28,000 28,000 Average assets 640,000 520,000 320,000

1. Which of the three competing corporations is in the strongest relative position, as indicated by their comparative statements of cash flows? Why?

2. Which of the three competing corporations is in the weakest relative position, as indicated by their comparative statements of cash flows? Why?