- NY Credits : 1.0
- TX Credits : 1.0
According to FASB ASC 230, Statement of Cash Flows, the primary objective of a statement of cash flows is to provide relevant information about the cash receipts and cash payments of an entity during a period. The information provided in a statement of cash flows, if used with related disclosures and information in the other financial statements, should help investors, creditors, and others (including donors). In this program, J. Russell Madray discusses the statement of cash flows and where preparers have problems in presentation.
Upon successful completion of Cash Flow Statements, the user should be able to:
define a complete set of financial statements,
identify how the statement of cash flows is different from other financial statements,
identify the categories of a statement of cash flows and what falls into each category, and
explain the two methods of preparation of the statement of cash flows and the differences between them.