Consolidated statement of cash flow: consolidated entities, as with individual companies, must present a statement of cash flow when they issue a complete set of financial statements. A consolidated statement of cash flows is similar to a statement of cash flows prepared for an individual corporate entity and is prepared in same manner. Consolidated statement of cash flow is prepared after consolidated financial statement. Consolidated cash flow statement is prepared form the information in the three consolidated statements, when an indirect approach is used consolidated net income must be adjusted for all items that affect consolidated net income and the cash of consolidated entity effectively. preparation of worksheet to develop consolidated cash flows for 20X6using direct method

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Chapter 10, Problem 10.23P

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Consolidated statement of cash flow: consolidated entities, as with individual companies, must present a statement of cash flow when they issue a complete set of financial statements. A consolidated statement of cash flows is similar to a statement of cash flows prepared for an individual corporate entity and is prepared in same manner. Consolidated statement of cash flow is prepared after consolidated financial statement. Consolidated cash flow statement is prepared form the information in the three consolidated statements, when an indirect approach is used consolidated net income must be adjusted for all items that affect consolidated net income and the cash of consolidated entity effectively.

preparation of worksheet to develop consolidated cash flows for 20X6using direct method

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Prepare a statement of cash flows using indirect method

?? ACTIVITY 3 The following data are taken from the records of Pagong Delivery Services for the year 2018. Cash received From customers Cash paid Purchase of land Interest on loan 980 000 90 000 700 000 Collection of accounts 45 000 Proceeds from sale of furniture 420 000 Partial payment of financing plan 180 000 Dividends on stock 55 000 Operating xpenses 310 000 Commision 23 000 Taxes and licenses 3 750 Income 11 000 Additional investmet 88 000 Rent income 99 000 Cash balance beginning is P98 000. Gain on sale of furniture is P5 000. 7| Page