The Procter & Gamble Company. The 2019 annual report of The Procter & Gamble Company (P&G) is available at www.pginvestor.com. After reviewing P&Gs annual report, respond to the following questions:

a. P&Gs 2019 statement of cash flow is presented using the indirect method format. Calculate P&Gs cash conversion ratio for 2019. What does the cash conversion ratio tell you about P&Gs operating revenues? Is this good news or bad news? Why?

b. Calculate P&Gs EBITDA, free cash flow, and discretionary cash flow for 2017, 2018, and 2019. What can you conclude about P&Gs cash position from these measures?

c. Calculate P&Gs sustainable earnings before taxes for 2017, 2018, and 2019. What can you conclude about the persistence of P&Gs earnings?