CHAPTER 8 Capital Budgeting Cash Flows 393
Remember to check the book’s Web site at
http://www.aw.com/gitman
for additional resources, including additional Web exercises.
- What were the major uses of capital spending for the most recent 2 years?
- What were the account balances for property, plant, and equipment (PP&E)
for the most recent 2 years (found on the Consolidated Balance Sheets)?
- What percent of PP&E does Intel replace every year? (Hint:For a rough esti-
mate, divide capital expenditures for a year by that year’s PP&E balance.)
- Select oneof the following companies, and use the Reportgallerysite to
access its annual report. Research its capital spending patterns and compare
them to Intel’s.
a. Abbot Laboratories
b. Southwest Airlines
c. Ford Motor Company
