Answer these questions about the statement of cash flows: 1. What is the "check figure" for the statement of cash flows? Where do you get this check figure? 2. List the categories of cash flows in order of importance. 3. What is the first dollar amount reported using the indirect method?

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24-03-2020
Business

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Answer these questions about the statement of cash flows: 1. What is the "check figure" for the statement of cash flows? Where do you get this check figure? 2. List the categories of cash flows in order of importance. 3. What is the first dollar amount reported using the indirect method?

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steffimarish steffimarish · Answer 1 · 2020-03-29T15:42:09+02:00

Explanation:

1. In the balance sheet the check figure for the cash flow can be identified with the increase or decrease in the cash flow.

2. The cash flow of the company, based on the priority is operations cash flow is the first, Investment cash flow is the second and financing cash flow is the last of all.

3. The indirect method used for reporting helps to find the net income of the firm. The difference between the total revenue and the total expense gives the net income of the company.