Chapter 11, Problem 3UJ

To determine

Introduction: A Balance sheet is a financial statement, which presents the correct position of the assets, liabilities and share holders’ equity at a given point of time.

(a)

To determine what method of depreciation does (McD) use.

To determine

(b)

To explain: To explain whether depreciation and amortization expense cause cash flow from operations to increase.

To determine

(c)

To explain: To explain what does the schedule of cash flow measures indicate.