Saturday, May 4, 2019

Cash Flow Statement Analysis Essay Example | Topics and Well Written Essays - 1250 words

Cash Flow Statement analysis - Essay Example2012).Operating activities are the main activities of the melodic line because they reflect the underlying health of the company. It reflects the bills that comes into and leaves the firm that is associated with the ordinary activities of the company (Warren, et al. 2012).Based on the above analysis of operational activities of the five companies, it is uncontaminating that Emaar Properties PJSC is the best performing firm because it generates most of its income from its primary activities compared to the remaining four. This implies that Emaar Properties PJSC is putting more vehemence on its core activities than the other companies hence more income from operating activities. Addition altogethery, it shows that the operating activities of the company are more spirited than the other firms. At 63.72%, Emaar has a good performance because its primary activities generate more than half of the fare revenue.The second company, Deyaar PJ SC Development, also has a good performance because it generates most of its income from its core caper activities. The third company, Drake & scull International PJSC, is also performing well because it has a positive net cash flow from operating activities. The third and fourth positions are taken by Arabtec Holding PJSC and Al Mazaya Holding respectively.From the analysis, it is clear that all the companies are good investments and the investors will be willing to invest in any of them because they produce a net positive cash flow from operating activities (Kapil, 2011). This implies that all the companies are putting more emphasis in their core activities thus more income from operating activities. However, investors would prefer Emaar because it generates more cash from their core business activities.The net cash flows from investing activities largely reflects the amount of cash associated with the sale and purchase of long-term business investments (capital expenditures) lik e assets, property, securities and equipment.From the

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