Archive for July, 2009
how do you calculate inventory and depreciation in a cash flow statement?
Arsenal4Life asked:
ok the question is to prepare a cashflow statement given some details. i understand how to classify things from operating, investing and financing. however, i’ve read that u need to reconcile the inventory and depreciation accounts along with debtors and creditors. i understand how to do the debtors and creditors its just the inventory and depreciation i don’t understand. any help?
Maribel Veazie
ok the question is to prepare a cashflow statement given some details. i understand how to classify things from operating, investing and financing. however, i’ve read that u need to reconcile the inventory and depreciation accounts along with debtors and creditors. i understand how to do the debtors and creditors its just the inventory and depreciation i don’t understand. any help?
Maribel Veazie
