chap007CashFlowAnalysis(财务报表分析—台湾中兴大学).pptVIP

7;Statement of Cash Flows ;Statement of Cash Flows ;Statement of Cash Flows ;Statement of Cash Flows ; Interrelations between cash and noncash balance sheet accounts can be generalized: Net changes in cash are explained by net changes in noncash balance sheet accounts. Changes within or among noncash balance sheet accounts do not affect cash. Yet, there is disclosure of all significant financing and investing activities in a separate schedule of noncash investing and financing activities. Changes within the components of cash are not reported.;Statement of Cash Flows ;Statement of Cash Flows ;Statement of Cash Flows Indirect Method;Statement of Cash Flows ;Statement of Cash Flows ;Statement of Cash Flows;Statement of Cash Flows;Statement of Cash Flows;Statement of Cash Flows;Statement of Cash Flows; Deriving Operating Cash Flows from Income for Gould. AmountItem (in thousands) Explanation Net income, accrual basis $ 54 Starting point of conversion Add (deduct) adjustment to cash basis: Depreciation 35 Depreciation has no cash outflow. Gain on sale of assets (5) Remove gain (because it is onoperating)—cash  inflow is cash from investing activities. Increase in receivables (9) Cash flow from sales is less than accrual sales. Decrease in inventories 6 Cash outflow for inventory exceeds accrual inventory cost included in cost of sales. Decrease in prepaids 3 Cash outflow occurred when prepaids were purchased-current expense is non-cash Decrease in accounts payable (5) Cash outflows for purchases (included in cost of goods sold) is less than accrual purchases cost. Increase in accrued expenses 4 Expense has been recognized but no cash paid _____ yet. Cash flows from operations (Exhibit 7.3) $113;Gould Corporation Cash Flows from Operations ($ thousands)For Year Ended December 31, Year 2 Cash flows from operating activities: Cash receipts from customers [a] $651,000 Cash paid for inventories [b] (360,000) Cas