Selected information for a recent year follows for Bank of Montreal and Scotiabank (in millions):

Instructions
(a) Calculate the increase or decrease in cash for each company.
(b) Calculate the free cash flow for each company.
(c) Which company appears to be in a stronger financial position? Explain.
(d) In what way might a bank's free cash flow be different from the free cash flow of a manufacturing company?

Transcribed Image Text:

Bank of Montreal Scotiabank Profit Cash provided (used) by operating actvities Cash provided (used) by investing activities Cash provided (used) by financing activities 4,333 (2,927) 3,293 (465) $7,298 4,944 (586) (4,186)