The financial statements of P&G are presented in Appendix B. The company’s complete annual report, including the notes to the financial statements, is available online.

Instructions

Refer to P&G’s 2017 financial statements and the accompanying notes to answer the following questions.

a. What cash outflow obligations related to the repayment of long-term debt does P&G have over the next 5 years?

b. P&G indicates that it believes that it has the ability to meet business requirements in the foreseeable future. Prepare an assessment of its liquidity, solvency, and financial flexibility using ratio analysis.