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Actual cash flow remains the same no matter what method is used it is just the presentation of statement and method of calculated cash flows and it does not affect amount of cash flow

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Q: Does using the direct method of preparing a cash flow statement provide a higher cash flow result than the indirect method?
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Related questions

Methods of preparing statement of Cash flow?

Following are methods:1 - direct method2 - indirect method


Pattern of direct and indirect speech?

definition direct and indirect statement


What and why are there two methods for preparing the statement of cash flows?

there are two methods of preparation:1 – Direct method2 – Indirect method


How do you change direct speech into indirect speech if the statement is imperative?

To change an imperative statement from direct to indirect speech, you usually use a reporting verb like "asked" or "told" followed by an indirect object. For example, "Go to the store" in direct speech becomes "He told me to go to the store" in indirect speech.


Is this statement direct or indirect speech - 'He said to me let us have dinner'?

This statement is direct speech because it directly quotes what someone said.


In Cash flow statement what is direct method and indirect method?

Direct and indirect method of preparing cash flow statement is same with only one difference which is under indirect method 'Cash flow from operating activities' is prepared by adjusting the net profit amount for non cash items while 'Cash flow from financing activities' and 'Cash flow from investing activities' is prepared in same manner in both methods.


What is a direct statement in literature?

A direct statement is writing someones words exactly as they are spoken. Direct statement have quotation marks: "I am tired", said Jack. The opposite, an indirect statement, does not have quotation marks: Jack said that he was tired.


Which section is affected by the decision to use either the direct method or the indirect method to prepare the statement of cash flows?

The Operating Activities portion of the Statement of Cash Flows is affected by whether the direct or indirect method is used.


What is direct expenses and indirect expenses?

what is direct and indirect expense


When do you say direct and indirect?

Direct refers to something that occurs without intermediaries or interruptions, while indirect means it occurs through intermediaries or has intervening factors. For example, a direct flight goes from one point to another without stopping, whereas an indirect flight may involve layovers or connecting flights.


In the statement my sister gave the dog a dish of water is dog the indirect object?

Yes, the noun 'dog' is the indirect object of the verb gave.The direct object of the verb 'gave' is the noun phrase 'dish of water'.


How do you change direct speech into indirect speech if the statement is declarative?

To change direct speech into indirect speech for a declarative statement, you typically use reporting verbs like 'said' or 'mentioned' followed by 'that.' You also need to shift the pronouns, tenses, and time expressions to match the context of the reported speech. Keep in mind to omit quotation marks and adjust punctuation accordingly.