Interpreting Financial Statements (ACCT G 5610) Individual Assignment 10 Zillow Earnings Quality Case (10 Points) Individual Assignment 10 is due via Canvas before the start of class on the assigned due date. Pull up the December 31, 2021 Zillow 10-K from the SEC website and respond to the following questions. 1. What is Zillow's cash flow provided lay/used in operating activities? What is its accrual basis net income/loss? Opinion question: Do you think Zillow's net earnings are well-supported by cash flows? Explain your response. (3 points) 2. Which two items contributed the most to the difference in the figures above? Do the significant balances associated with the items you identified appear reasonable based on your understanding of Zillow's business? Please explain. (2 points) 3. Estimate Zillow's free cash flow using the approach we used in class. Is their free cash flow positive or negative? If positive, what did they do with their free cash flow; if negative, how did they finance their operations? {2 points) 4. Examine Zillow's income statements for the last three years. Identify two items that you think represent a potential temporary (Le. one-time) gain or loss that you might wa nt to investigate further. Explain your response (hint: you may want to refer to Zillow's Adjusted EBITDA disclosure within the MD&A). (2 points) 5. Examine Zillow's cash flow statement. Identify one additional item you think is a potential temporary (i.e. one-time) gain or loss that you might want to investigate further. Explain your response. [1 point)