Answer
See explanation
Work Step by Step
a. As a creditor, I would be discouraged by the negative cash flows from the operating and investing activities. Clearly, Xerox's potential to meet its debt obligations is in doubt. They already issued another debt which is the only source of positive cash flow into the business. As a creditor, I would hesitate to lend more money to Xerox.
b. As an investor, the above information would not appeal to me. The falling share price is one of the foremost thing that would discourage me from investing in Xerox. Accordingly, I would not invest in Xerox because its cash flows are not promising.
c. I would request information on the latest balance sheet, the income statement, the auditor's opinion and details about retained earnings.
d. The dividend rate has not grown. The issuance of the same dividend is influenced by the availability of cash, the net income, the number of shares held by every stockholder, and retained earnings.
