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You need to watch the free lectures on Statement of cash flows. I cannot type out the whole lecture here!
Our free lectures form a complete course and cover everything that is needed to be able to pass F3 well.
Sir, could you help me with the 3rd test question in statement of cash flows?
You really need to say which part of the question is giving you a problem!
A, B and D all involve a cash payment and therefore appear in the statement.
However with regard to C, charge in the SOPL will not necessarily be the same as the cash actually paid. It is the cash paid that appears in the statement and not the expense in the SOPL.
(I assume you have watched the lecture, because the same problem occurs in the example worked through in the lecture. (and of course there is no point in using the Lecture Notes without using the lectures that go with them))
Sir, what if Difference in prepayments and differences in accruals is given in the question, how do we calculate cash flows from operating activities under indirect method?
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