Chapter 10
The Statement of Cash Flow
482
AS-13 (
4
)
Why would an investor or creditor want to see a company show a positive free cash flow
amount?
AS-14 (
5
)
What are some actions a company may be tempted to take to unethically and artificially
improve its cash flow statement presentation?
AS-15 (
6
)
What is the difference in the presentation of the cash flow statement between the indirect
and the direct methods?
AS-16 (
6
)
Using the direct method, how can we calculate the amount of cash spent on inventory?
