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Opentutiion cash flow statement example 2

This topic has 1 reply, 2 voices, and was last updated 1 day ago by John Moffat.

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January 25, 2025 at 12:02 pm #714961
kennigara
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Hi Dear Tutor, Why we did not deduct irrecoverable debt from net profit before tax? Because it is not non-cash item is not it?
January 26, 2025 at 8:19 am #714978
John Moffat
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If a debt is irrecoverable then it will mean that we have not received the cash, so the profit does not need adjusting.
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