Problem: From the financial data from three competitors in the same industry, the given formatted MS Excel spreadsheet performs a comparative analysis of the companies.
Financial data from three competitors in the same industry follow.
1. Which of the three competitors is in the strongest position as shown by its statement of cash flows?
2. Analyze and discuss the strength of Z-Best’s cash flow on total assets ratio to that of Lopez.
| Cash provided (used) by operating activities |
80000 |
70000 |
-34000 |
| Proceeds from sale of operating assets |
|
|
36000 |
| Purchase of operating assets |
-38000 |
-35000 |
|
| Cash provided (used) by financing activities |
|
|
|
| Proceeds from issuance of debt |
|
|
33000 |
| Repayment of debt |
-700 |
|
|
| Net increase (decrease) in cash |
35000 |
35000 |
35000 |
| Average total assets |
800000 |
650000 |
400000 |