sam boyer acc 291 week 8.1

sam boyer acc 291 week 8.1 - Running head DIRECT AND...

Info icon This preview shows pages 1–3. Sign up to view the full content.

Running head: DIRECT AND INDIRECT CASH FLOWS 1 Direct and Indirect Cash Flows Samatha Boyer Acc/291 02/08/2015 Tameka Johnson
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

DIRECT AND INDIRECT CASH FLOWS 2 Direct and Indirect Cash Flows Throughout the course of this paper, I will be discussing what the differences are between a direct and indirect cash flows. I will then give an explanation on why the Financial Accounting Standards Board allows both direct and indirect cash flow methods to be used. As a finisher, I will give my opinion about which I prefer and why I prefer it. While both the direct and indirect methods of preparing a cash flow statement come to the same end result, the way of finding this end result is a little different. The direct method list everything that contains cash. The indirect method list matters that does not affect cash. (Weygandt, 2010) The direct method has three divisions that report cash earnings and cash disbursements. These sections are; “operating, investing, and financing activity.” (Weygandt, 2010) The operating activities includes record of earnings and disbursements of business operations. The
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern