How does the direct method of cash flow statement differ

Reference no: EM133507347

Question 1. How does the direct method of cash flow statement differ from the indirect method of cash flow statement?

Question 2. Identify the income and expense items for the difference between net operating profit and cash flows from operations. For each item, describe if the item has caused an increase or decrease in cash flows from operations relative to the net operating profit.

Question 3. Which one of the income or expense items has created the most difference between net operating profit and cash flows from operations? Explain how this item has created the difference between net operating profit and cash flows from operations.

Question 4. Which current assets and current liability items have created the difference between net operating profit and cash flows from operations? For each item, describe if the item has caused an increase or decrease of cash flows from operations relative to the net operating profit.

Question 5. How do changes in current assets and current liabilities items create the difference between net operating profit and cash flows from operations

Reference no: EM133507347

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