Direct Method or Indirect Method of Reporting Cash Flows from Operating Activities
{"Image DocumentName": "Direct Method or Indirect Method of Reporting Cash Flows from Operating Activities", "Image ImageDescription": "Reports the cash effects of each operating activity. Direct Method. Starts with accrual net income and converts to cash basis. Indirect Method. Two Formats for Reporting Operating Activities. There are two acceptable formats for presenting the cash flows from operating activities. The direct method reports the cash effects of each operating activity directly on the statement of cash flows. When using the indirect method, the operating section starts with accrual net income and coverts to cash basis. Note that no matter which format is used, the same amount of net cash flows operating activities is generated. Note that no matter which format is used, the same amount of net cash flows operating activities is generated.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}