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Cash flow

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Cash flow

  • This topic has 1 reply, 2 voices, and was last updated 11 years ago by AvatarJohn Moffat.
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  • March 30, 2015 at 1:50 pm #239533
    AvatarRasad
    Member
    • Topics: 55
    • Replies: 45
    • ☆☆

    Where we have to write the interest received in cash flows?in the investing activities? or in the operating activities? I confused to write it when I saw interest received which is written in the operating activities , in the another example it is written in the investing activities?which is true?

    March 31, 2015 at 2:21 pm #239655
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54849
    • ☆☆☆☆☆

    interest received appears under the heading ‘cash flows from investing activities’

    The reason that you have seen it under operating activities is different – it is because we need to adjust the profit from the statement of profit or loss to be able to get the operating profit.

    The free lecture on statements of cash flows will help you.

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