- Explore http://finance.yahoo.com, get access to the financial page of company Caterpillar (put into search box either the stock symbol CAT, or the company name Caterpillar), and then choose from the company’s menu ==> “Financials” ==> “Income Statement” ==> “Quarterly“ (as of 12/31/2020 – 09/30/2021). Use the data amounts provided by those quarterly financial statements to compute CAT’s Operating Cash Flow amounts for EACH of those past 4 quarters individually. Based on your calculated amounts, is there a trend for CAT’s most recent OCFs to improve, stabilize, or deteriorate quarter-by-quarter during the past 4 quarters?
(Hint: By the textbook formula, OCF = EBIT + Depreciation – Taxes. Such items and corresponding amounts (all in $ thousands) are listed in Income Statement, where “EBIT” represents EBIT, “Reconciled Depreciation” represents Depreciation, and “Tax Provision” represents Taxes, respectively.
Direct link for CAT’s periodical financial statements: https://finance.yahoo.com/quote/CAT/financials?p=CAT (Links to an external site.) (then make sure to choose “quarterly” instead of “annual”).
- Part C, Understand what kind of working ethics a chartered financial analyst (CFA) should learn before sitting for the CFA exam:
Please click the below link to watch 3 of the video clips in the list (#4, 5, 6), and write a brief sentence (15~30 words) of your understanding comments for each of those video clips that you have watched.