VII. Report for CEO

At the most recent strategic planning meeting, the board of directors of your company has voted to issue additional stock to raise capital for major expansions for the company in the next five years. The board is considering $$5$ billion. Take the most recent financial statements and prepare a set of projected financial statements based on the given assumptions. The CEO requests that you prepare a written report $($including the financial statements$)$ for her.

Generate a projected cash flow statement based on the given scenario.

Analyze the impact on the cash flow statement based on the given scenario.

TARGET CORPORATION $($TGT$)$

CONSOLIDATED STATEMENTS OF CASH FLOWS

Fiscal Year Ended

amounts in millions January $28,2023$ January $29,2022$ January $30,2021$ February $1,2020$ February $2,2019$

CASH FLOWS FROM OPERATING ACTIVITIES:

Net Earnings $$4,138$ $$2,780$ $$6,946$ $$4,368$ $$3,281$

Reconciliation of Net Earnings to Net Cash Provided by Operating Activities:

Depreciation and Amortization $2,8012,7002,6422,4852,604$

Stock$-$Based Compensation Expense $251220228200147$

Gain on Sales of Investments $--(335)--$

Goodwill Impairment $94172678629$

Changes in Assets and Liabilities, net of the effects of acquisitions:

Receivables, net $-----$

Merchandise Inventories $1,613403(3,249)(1,661)505$

Other Current Assets $(48)(5)(199)(137)18$

Accounts Payable and Accrued Expenses $(1,216)(2,237)2,6282,925140$

Deferred Revenue

Income Taxes Payable

Deferred Income Taxes

Other Long$-$Term Liabilities $727(624)(746)1,931199$

Other $167162015$

Net Cash Provided by Operating Activities $8,3763,4167,99810,2176,938$

CASH FLOWS FROM INVESTING ACTIVITIES:

Capital Expenditures, net $(4,806)(5,528)(3,544)(2,649)(3,027)$

Proceeds from Sales of Investments $--356--$

Payments for Businesses Acquired, net $-----$

Proceeds from Sales of Property and Equipment $248274263$

Net Cash Used in Investing Activities $(4,782)(5,520)(3,161)(2,607)(2,964)$

CASH FLOWS FROM FINANCING ACTIVITIES:

Proceeds from Short$-$Term Borrowings, net $-----$

Proceeds from Long$-$Term Borrowings, net of discounts $-2,6251,9722,4801,739$

Repayments of Long$-$Term Debt $(147)(163)(1,147)(2,415)(2,069)$

Repurchases of Common Stock $-(2,646)(7,188)(745)(1,565)$

Proceeds from Sales of Common Stock $(127)(180)(168)--$

Cash Dividends Paid to Stockholders $(2,011)(1,836)(1,548)(1,343)(1,330)$

Other Financing Activities $(78)(2,196)(8,071)(2,000)(3,152)$

Net Cash Used in Financing Activities $(2,363)(4,396)(16,150)(4,023)(6,377)1,231$

Change in Cash and Cash Equivalents $1,231(6,500)(11,313)3,587(2,403)$

Effect of Exchange Rate Changes on Cash and Cash Equivalents $1,576(3,682)(2,600)2,5771,556$

Cash and Cash Equivalents at Beginning of Year $2,2295,9118,5111,1401,987$

Cash and Cash Equivalents at End of Year $$5,036$ $$(4,271)$ $$(5,402)$ $$7,304$ $$1,140$

SUPPLEMENTAL DISCLOSURE OF CASH PAYMENTS MADE FOR:

Interest, net of interest capitalized $$605$ $$449$ $$414$ $$939$ $$492$

Income Taxes $$374$ $$213$ $$2,063$ $$1,031$ $$696$