Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the statement of cash flows is not prepared the sa

The statement of cash flows is not prepared the same as the income statement or...

70.2K

Verified Solution

Question

Accounting

The statement of cash flows is not prepared the same as the income statement or balance sheet. The statement of cash flows requires that the net income must be converted from an accrual basis to a cash basis. This statement can be prepared in either of two ways - the Indirect method or the Direct method.

What is the difference between preparing one compared to the other - and which do you feel is a better way to prepare this statement?

Your response to this Discussion Starter should be a minimum of 250 words

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

his assignment will assess competency 3. Analyze the fundamental characteristics of organizing. Throughout your career, especially as...

General Management
Q

Are these two triangles similar 12 18 30

Geometry
Q

A softball pitcher has a 0.507 probability of throwing a strike for each pitch. If...

Statistics
Q

Over the past few decades public health officials have examined the link between weight concerns...

Statistics
Q

g Find the equation of the major axis h Find the equation of the minor...

Calculus
Q

Lesson 12 4 Checkpoint Once you have completed the above problems and checked your solutions...

Algebra
Q

Ritchie Manufacturing Company makes a product that it sells for $180 per unit. The company...

Accounting
Q

Analyse the concept of Limited liability for: 1. Limited Liability Partnership 2. Private Company

Accounting
Q

ME The following is the December 31th Unadjusted Trial Balance. Alpha Dog Corporation Unadjusted Trial...

Accounting
Q

DURA wishes to spend $9 million dollars to research a set of exploratory drugs. The...

Accounting
Q

Sardi Incorporated is considering whether to continue to make a component or to buy it...

Accounting
Q

Note: Choose any 2 to answer in a 200-300 minimum discussion post 1. The Super...

Finance