Typical Classification of Interest and Dividends
{"Image DocumentName": "Typical Classification of Interest and Dividends", "Image ImageDescription": "U.S. GAAP vs. IFRS. Consistent with U.S. GAAP, cash flows are classified as operating, investing, or financing. Typical Classification of Interest and Dividends. Operating Activities. Dividends Received. Interest Received. Interest Paid. Investing Activities. Financing Activities. Dividends Paid. Operating Activities. Investing Activities. Dividends Received. Interest Received. Financing Activities. Dividends Paid. Interest Paid. Both U.S. GAAP and international standards require a statement of cash flows. Both currently also classify cash flows as operating, investing, or financing. However, there are different classifications used for cash flows from interest and dividends. The U.S. standard designates cash outflows for interest payments and cash inflows from interest and dividends received as operating cash flows. Dividends paid to shareholders are classified as financing cash flows. IAS No. 7, on the other hand, allows more flexibility. Companies can report interest and dividends paid as either operating or financing cash flows and interest and dividends received as either operating or investing cash flows. Interest and dividend payments usually are reported as financing activities. Interest and dividends received normally are classified as investing activities.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}