Read about “The Procter & Gamble Company (P&G)” The

Read about “The Procter & Gamble Company (P&G)”

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.

http://www.pginvestor.com/interactive/lookandfeel/4004124/PG_2014_10K.pdf

Instructions

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

(a) What descriptions are used by P&G in its balance sheet to classify its property, plant, and equipment?

(b) What method or methods of depreciation does P&G use to depreciate its property, plant, and equipment?

(c) Over what estimated useful lives does P&G depreciate its property, plant, and equipment?

(d) What amounts for depreciation and amortization expense did P&G charge to its income statement in 2014, 2013, and 2012?

(e) What were the capital expenditures for property, plant, and equipment made by P&G in 2014, 2013, and 2012?