70.2K

Verified Solution

Link Copied!

Formulating Financial Statements from Raw Data (lo2, 3) Following is selected financial information from General Mills, Inc., for its fiscal year ended May 26, 2013 ($ millions). Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $17,774.1 Cash from operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,926.0 Cash, beginning year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 471.2 Stockholders equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,096.0 Noncash assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,916.6 Cash from financing activities* . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,140.4) Cost of goods sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,350.2 Total expenses (other than cost of goods sold) . . . . . . . . . . . . . . 4,568.7 Cash, ending year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 741.4 Total liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,562.0 Cash from investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,515.4) * Cash from financing activities includes the effects of foreign exchange rate fluctuations. Required a. Prepare the income statement, the balance sheet, and the statement of cash flows for General Mills for the fiscal year ended May 26, 2013. b. Do the negative amounts for cash from investing activities and cash from financing activities concern us? Explain. c. Using the statements prepared for part a, compute the following ratios (for this part only, use the year-end balance instead of the average for assets and stockholders equity): i. Profit margin ii. Asset turnover iii. R eturn on assets iv. R eturn on equity

Answer & Explanation Solved by verified expert

See Answer