Identifying Companies from Cash Flow Patterns:

Based on the cash flows shown, classify each of the following cases as a growing start-up company (S), a healthy established company (E), or an established company facing financial difficulties (F).

Cash provided by (used for) operating activities Case 1- $3,000, Case 2- $(120,000) Case 3-$80,000

Cash provided by (used for) investing activities Case 1- (70,000), Case 2- $10,000 Case 3- (40,000)

Cash provided by (used for) financing activities Case 1- $75,000, Case 2- $75,000 Case 3- (30,000)

Net change in cash                                        Case 1- $8,000,   Case 2- (35,000) Case 3- $10,000

Cash position at the beginning of year              Case 1- $2,000    Case 2- $40,000 Case 3- $30,000

Cash position at the end of year                       Case 1- $10,000 Case 2- $5,000   Case 3- $40,000

Matching Items Reported to Cash Flow Statement Categories (Indirect Method)

The Buckle, Inc., operates 420 stores in 41 states, selling brand name apparel like Lucky jeans and Fossil belts and watches. Some of the items included in its 2010 statement of cash flows presented using the indirect method are listed here. Indicate whether each item is disclosed in the operating activities (O), investing activities, (I), or financing activities (F) section of the statement or (NA) if the item does not appear on the statement.

___ 1. Purchase of investments.

___ 2. Proceeds from issuance of stock.

___ 3. Purchase of property and equipment.

___ 4. Depreciation

___ 5. Accounts payable (decrease).

___6. Inventories (increase).