Part 1 (Use the annual report of Nike 2017)

Please examine the Statement of Cash Flows and accompanying notes of Nike. Answer the following questions:

1. Does the company use the direct or indirect method for computing cash flows from operating activities? What effect does depreciation have on cash flows? Have receivables, inventories, and payables had positive or negative effects on cash flows from operating activities?

2. What is the most important investing activity for the company in the most recent year?

3. What is the most important financing activity for the company in the most recent year?