AKSHAT BHOOT

PGFB1909

Boeing Cash Flow Statement

Q1. Boeing has been sourcing its cash primarily from which activity.

Ans. The principle source of money for Boeing is operating activities as organization structure and
assembling of commercial jet transport. This normally shows a solid money position as in year 2005
the income is +7000(in crore) .So the real source is from operating activities and the this just giving
assets with the goal that the organization can grow in assortment of different tasks.

Q2. What has led to high liquidity of Boeing’s earnings?

Ans. As should be obvious from the income proclamation the non-money modifications for example
altruism impedance , devaluation and amortization, utilize advantages and annuity arrangements
and so forth these all are not having any sort of money inflows or surge yet at the same time these
exercises has been used over the timeframe. So on account of liquidity discovered the non-money
changes which is high net money inflows (1412+91+23+1877-508+415) = $3310(in million) which
shows that Boeing is procuring are high for example having high liquidity.

Q3. Has Boeing been able to negotiate with its customers and suppliers (in its favor/not
its favor).
Ans. By observing the income we can effectively judge that the banks and other payable can without
much of a stretch paid from the net acquiring from the operating activities. Along these lines, from
this we can without much of a hustle, tell that its clients and providers are agreeable to the
organization from the general situation of each of the three years information which has been given
to us.

Q4. Which year Boeing had net cash inflows from changes in Current asset/Current
liabilities? Does it mean that during that year Boeing’s management of working capital
was effective/not effective?
Ans. The highest money inflow for Boeing was in the year 2005 as it very well may be effectively
made a decision in the operating activity the net money inflows I.e. changes in Current
resources/current liabilities(- 592-1965+1775+3562-1862+200) $1118 million. Thus, this can be seen
from different years in 2005 Boeing capital was affected when contrasted with different years.

Q5. What has led to outflow under financing activity? Is it good for company in future?

Ans. The largest increase under financing action of Boeing are in repurchases of its own value
shares, Debt installments and from profits paid. These surges limits the exaggerated impact that
consistent repurchases have on investor esteem. Value is regularly repurchased when the market
cost of the offer is not exactly Net yearly an incentive because of numerous variables and from this
organization can without much of a stretch reinforce its money related position through it.

Q6. Do you agree that Boeing’s cash flows are highly favorable and its ability to
generate positive cash flows from operations and ability to meet its obligations in future
is high.
Ans. Indeed, I strongly concur that Boeing's money streams are high as its operating activities
benefit age is expanding step by step and which is giving organization opportunities to extend in
different fields to contribute and give subsidizing to different segments. As the information is
additionally giving us that the capacity to commit in future is high because of increase of positive
income (activities) I.e. $7000(in million) which are being utilized to grow and use cash for extending
and furthermore repurchasing the organization's very own value from the surplus money which will
give the benefit to the organization in future. As from income explanation increment in real money
and money counterparts by $2208 million and in which the Net Cash given by working exercises was
$7000 million and in this manner had the option to cover every one of the activity of Financing and
Investing Activities.