The reporting format for the statement of cash flows which shows the actual cash inflows and outflows of operating activities is the:

Question

Quizplus · Accepted Answer

The direct format of the statement of cash flows presents the actual cash inflows and outflows of operating activities. This format lists all of the major operating cash receipts and payments, such as cash received from customers and cash paid to suppliers, and calculates the net cash provided by operating activities. This format is often preferred by analysts and investors because it provides a more detailed view of a company's operating cash flows than the indirect format.

The Reporting Format for the Statement of Cash Flows Which