Reference no: EM132773037
GIVEN DATA: 2016 2017
Cost of Goods Sold 2,01,943 2,52,768
Cash 30,629 32,567
Depreciation 56,876 64,826
Interest expense 13,130 14,925
Selling & Administrative Expenses 43,130 53,753
Accounts Payable 52,910 58,998
Net Fixed Assets 2,62,617 3,14,625
Sales 4,03,456 4,85,832
Accounts Receivable 21,524 27,652
Notes Payable 24,308 26,915
Long-term Debt 1,29,342 1,44,570
Inventory 45,785 58,425
Tax Rate 35% 35%
Dividend Payout % 50% 50%
Problem 1: Interpret the quality of the operating cash flow for the company. Is operating cash flow increasing or deteriorating over time? Explain
Problem 2: Describe whether or not the company generates positive cash flow from operations.?
Problem 3: Based on the quality of cash flow, would you invest in the company?