STATEMENT OF CASH FLOWS

Name of company chosen: __________________

Information about the company:

What is the industry classification for the company (according toFortuneor the Internet site you are using)?

Describe the nature of the company?s business.

List the company?s primary products or services (use brand names where available).

What is the address of the company?s corporate headquarters?

What is the address of the company?s Web site?

List other countries in which the company operates:

http://beta.fortune.com/fortune500/chevron-14 http://www.marketwatch.com/investing/stock/cvx/financials/cash-flow need to turn statement of cash flow Name of company chosen: __chevron___ Information about the company: What is the industry classification for the company (according to Fortune or the Internet site you are using)? Describe the nature of the company's business. List the company's primary products or services (use brand names where available). What is the address of the company's corporate headquarters? What is the address of the company's Web site? List other countries in which the company operates: THE BASICS Locate the company's statement of cash flows. What is the period covered by the statement? ________________________________ On what page of the annual report does the statement appear? _______ 1. What was the ending balance of cash and cash equivalents in the current year? Does this agree with the ending balance of cash and cash equivalents reported on the balance sheet? _________ Explain any discrepancy. 2. What was the net cash flow from investing activities? _____________________ Was it an inflow or an outflow of cash?___________________________________ What activity accounted for the largest cash flow from investing activities? ___________________________________________________________________ Was it an inflow or an outflow of cash? ___________________________________ 3. What was the net cash flow from financing activities? ____________________ Was it an inflow or an outflow of cash? ___________________________________ What activity accounted for the largest cash flow from financing activities? ____________________________________________________________________ Was it an inflow or outflow of cash? ______________________________________ 4. What was the net cash flow from operating activities? ______________________ Was it an inflow or an outflow of cash? ____________________________________ 5. Did the company use the direct or indirect method in reporting net cash flows from operating activities? __________________________ How can you tell? 6. What was the net income for each of the three years presented? Page _____ __________________ __________________ __________________ current year last year two years ago What was the net cash flow from operating activities for each of the three years presented? _________________ __________________ __________________ current year last year two years ago What were the major items accounting for the difference between these two numbers? FURTHER ANALYSIS 7. Calculate the following: Show your computations. Cash received from customers: Cash paid to suppliers: Cash paid for operating expenses: 8. Use the notes to the financial statements to determine the following: Page ____ Cash paid for taxes: ___________________________ Cash paid for interest: ___________________________ 9. Calculate the following ratios. Show your computations. a. Free cash flow = Cash provided by operating activities - capital expenditures - cash dividends __________________ __________________ __________________ current year last year two years ago b. Current cash debt coverage ratio = Cash provided by operating activities Average current liabilities Calculate this ratio for the current year only. c. Cash debt coverage ratio = Cash provided by operating activities Average total liabilities Calculate this ratio for the current year only. d. Cash return on sales ratio = Cash provided by operating activities Net sales __________________ __________________ __________________ current year last year two years ago 10. Explain what information each of these ratios provides. Use complete sentences. (a) (b) (c) (d) 11. Evaluate the company's liquidity, solvency, and profitability as indicated by the cash flow ratios computed above. Use complete sentences. Refer to each of the ratios in your discussion