The operating activities section of the statement of cash flows can be prepared using the direct or indirect method. Under the indirect method, the net income is taken as basis and adjustments are made for non cash and non operating items of find the net operating cash flows. To prepare: the statement of cash flow using the indirect method.

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Chapter 12, Problem 11E

1.

Summary Introduction

Concept Introduction:

The operating activities section of the statement of cash flows can be prepared using the direct or indirect method. Under the indirect method, the net income is taken as basis and adjustments are made for non cash and non operating items of find the net operating cash flows.

To prepare:the statement of cash flow using the indirect method.

2.

Summary Introduction

Concept Introduction:

The operating activities section of the statement of cash flows can be prepared using the direct or indirect method. Under the indirect method, the net income is taken as basis and adjustments are made for non cash and non operating items of find the net operating cash flows.

To calculatethe cash flow to total asset ratio for the year 2018.

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