Connect Access Card for Financial Accounting: Information and Decisions
Connect Access Card for Financial Accounting: Information and Decisions
8th Edition
ISBN: 9781259662966
Author: John J Wild
Publisher: McGraw-Hill Education
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Chapter 6, Problem 11DQ
Summary Introduction

Concept introduction:

Cash Flow statement: It shows the movement of cash during a particular period. The Cash flows are categorized into three categories as follows:

  • Cash flows from operating activities
  • Cash Flows from investing activities
  • Cash flows from financing activities

(Note: Cash flows from operating activities can be prepared using the direct or indirect method)

To indicate: the difference and reason for the difference between the net earnings and change in cash and cash equivalents.

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