Chapter 4 Statement of Cash Flows

Chapter 4 Statement of Cash Flows - Chapter 4: Statement of...

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Chapter 4: Statement of Cash Flows Saturday, February 25, 2012 11:50 PM 1. Statement of cash flows provides information about cash inflows and outflows during an accounting period 2. Cash flows are segregated by operating activities, investing activities, and financing activities 3. Preparing a statement of cash flows 1.a. The balance sheet shows account balances at the end of an accounting period, and the statement of cash flows shows changes in those same account balances between accounting periods 1.a. Called a statement of flows because it shows changes over time rather than the absolute dollar amount of the accounts at a point in time 1.a. By calculating the changes in all of the balance sheet accounts, including cash; then listing the changes in all of the accounts except cash as inflows or outflows; and categorizing the flows by operating, financing, or investing activities. The inflows less the outflows balance to and explain the change in cash 1.a. Four parts of a statement of cash flows: ** Figure 4.1 p. 110
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This note was uploaded on 03/05/2012 for the course BUSI 407 taught by Professor Bowen during the Spring '11 term at UNC.

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Chapter 4 Statement of Cash Flows - Chapter 4: Statement of...

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