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Refer to the financial statements of The Home Depot in Appendix A and Lowes in Appendix B at the end of this book, or download the annual reports from the Cases section in the Connect library.
Required:
1. Which of the two basic reporting approaches for the cash flows from operating activities did Lowes use? Is this the same as what The Home Depot used?
2. What amount of cash did Lowes receive from issuing long- term debt during the year ended January 31, 2014?
3. In the fiscal year ended January 31, 2014, Lowes generated $ 4,111 million from operating activities. Where did Lowes spend this money? List the two largest cash outflows reported in the investing or financing activities sections. Do Lowes uses differ significantly from The Home Depots for the same period?
Why is a knowledge of accounting concepts and terminology useful to anyone in a business activity?
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