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Method of reporting cash flows from operating activities
Course:- Accounting Basics
Reference No.:- EM13970903




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Refer to the statement of cash flows in the CVS Corporation annual report to answer the following questions:

1. Does CVS use the indirect method of reporting cash flows from operating activities? Other than net earnings, what are the most important factors affecting the company's cash flows from operating activities? Explain the trend of each of these factors.

2. Based on the cash flows from investing activities, would you say that CVS is
a contracting or an expanding company? Explain.

3. Has CVS used external financing? If so, where did it come from?




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