Financial Statement Analysis

Unit 5 [MT482]

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Unit 5 Assignment: Lands’ End Case 7-1

In this Assignment, you will be assessed based on the following outcome:

MT482-3: Analyze cash flow measures for insight into all business activities.

In this Assignment, you will clearly see the connection between cash flow and the actual operation of

a business. You will better understand the impact of cash management and develop the skills to

understand its importance.

Locate the Lands’ End Case 7-1 on page 455 of your text. Be sure to submit thoughtful and

substantial answers to the questions following each case.

This is a challenging activity. You should prepare to spend substantial time working on your response.

Directions for Submitting Your Assignment

Compose your Assignment in a Microsoft Word document and save it as Username- MT482

Assignment-Unit 5.docx (Example: TAllen- MT482 Assignment Unit 5.docx). Submit your file

by selecting the Unit 5 Assignment Dropbox by the end of the unit.

Unit 5 Assignment: Lands’ End Case 7-1 Points Possible

Points Earned

Content, Analysis, and Effective Writing Skills

Year that Lands’ End strategy was implemented and summary for how the strategy is reflected in the information that is contained in the statement of cash flows.

6

Explanation for how the four items listed below reconcile net income to net cash flows from operating activities:

Depreciation

3

Receivables 3

Inventory 3

Reserve for returns, and calculates free cash flows for each year shown.

3

Calculation of free cash flows for each year. 10

Analysis of how Lands’ End uses its free cash flow statement and whether this reflects good financial strategy.

10

Sentences are clear, concise, and direct; tone is appropriate. Grammatical skills are strong with almost no errors per page.

9

Total Points 45