The Following Information Is Provided from the Cash Flow Statement

Essay

The following information is provided from the cash flow statement for Toys 4 U for the years 20X3 through 20X7 in millions of dollars: $$\begin{array} { | l | r | r | r | r | r | } \hline & 20 X 7 & 20 X6 & 20 X 5 & 20 X4 & 20 X 3 \\\hline \begin{array} { l } \text { Cash provided by operating } \\\text { activities }\end{array} & \$ 964 & \$ 509 & \$ 743 & \$ 250 & \$ 592 \\\hline \text { Capital expenditures, net } & \$ 373 & \$ 494 & \$ 415 & \$ 468 & \$ 586 \\\hline\end{array}$$ (A) Calculate the capital acquisitions ratio for Toys 4 U for the five-year period from 20X3 to 20X7. (B) Comment on the capital acquisitions ratio for Toys 4 U for the five years.