Question: 2:101-3: 1O 1 INTEGRATIVE CASE 1.1 Walmart The first case at... Questions O - W were not

Question: 2:101-3: 1O 1 INTEGRATIVE CASE 1.1 Walmart The first case at... Questions O - W were not answered. Can you help? Why does Walmart show increases in inventory as subtractions when computing cash flow from operations? IV. p. Why does Walmart show increases in accounts payable as additions when computing cash flow from operations? q. What was the single largest use of cash by Walmart during this three-year period? How does that use of cash reflect Walmart’s business strategy? r. What was Walmart’s single largest use of cash for financing activities during this three- year period? What does that imply about Walmart’s financial position and performance? Relations between Financial Statements s. Prepare an analysis that explains the change in retained earnings from $85,777 million at the end of fiscal 2014 to $90,021 million at the end of fiscal 2015. Do not be alarmed if your reconciliation is close to, but does not exactly equal, the $90,021 million ending balance. Interpreting Financial Statement Relations Exhibit 1.22 presents common-size and percentage change balance sheets and Exhibit 1.23 presents common-size and percentage change income statements for Walmart for fiscal years ended January 31, 2014, 2015, and 2106. The percentage change statements report the annual percentage change in each account from fiscal 2013 to 2014, and from fiscal 2014 to 2015. t. The percentage changes in prepaid expenses and other current assets jumped up 16.5% in fiscal 2014 and then fell by 35.2% in fiscal 2015. Did the changes in the dollar amounts of this account have a huge impact on total assets (see Exhibit 1.22)? Explain. u. During this three-year period, how did the proportion of total liabilities change relative to the proportion of shareholders’ equity? What does this imply about changes in Wal- mart’s leverage? v. How did net income as a percentage of total revenues change from fiscal 2013 to fiscal 2015? Identify the most important reasons for this change. w. Does Walmart generate high or low profit margins? How do Walmart’s profit margins relate to the company’s strategy?