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What was the most significant item in the cash flows

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Reference no: EM131623850

Question: The Procter & Gamble Company (P&G) The financial statements of P&G are presented in Appendix 5B. The company's complete annual report, including the notes to the financial statements, can be accessed at the book's companion website, www. wiley.com/college/kieso.

Instructions: Refer to P&G's financial statements and the accompanying notes to answer the following questions.

(a) Which method of computing net cash provided by operating activities does P&G use? What were the amounts of net cash provided by operating activities for the years 2009, 2010, and 2011? Which two items were most responsible for the decrease in net cash provided by operating activities in 2011?

(b) What was the most significant item in the cash flows used for investing activities section in 2011? What was the most significant item in the cash flows used for financing activities section in 2011?

(c) Where is "deferred income taxes" reported in P&G's statement of cash flows? Why does it appear in that section of the statement of cash flows?

(d) Where is depreciation reported in P&G's statement of cash flows? Why is depreciation added to net income in the statement of cash flows?

Reference no: EM131623850

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