The comparative cash flow statements from Sears and Wal-Mart are presented above. Amounts presented are in millions. Review both statements considering what you've learned in this chapter about the cash flow statement.
Answer the following questions:
When analyzing a company's cash flow statement, which section of the statement (operating, investing or financing) do you believe is the best predictor of a company's future profitability? Why?
Which company do you believe is healthier based on the cash flow statements presented? Provide at least two specific examples from the statements.
Your initial post is due four (4) days prior to the discussion due date or points will be deducted from your discussion score.
Source: Wendy Tietz, PhD, CPA, CMA, AccountingintheHeadlines.com This work is licensed under a Creative Commons Attribution-NonCommercial 3.0 Unported License.
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