The reflection of cash in the statement of cash flows

Abstract

IAS 7 “The report on movement of funds” reglamentary presentation and reporting cash flows and
in the report reflected cash received, cash paid out and the net change in cash as a result of operational,
investment and financial activities of the company during the period in the format, resulting in a compliance
account balance of funds at the beginning and end of the period. Cash comprises cash in hand and
on current accounts of the company. The company should report cash flows in presenting cash flows
from operating activities using the direct method, which reveals information about the main types of
gross receipts and payments; or indirect method, wherein net profit or loss adjusted to reflect the results
of operations non-cash nature, any pending or accrued in past or future cash receipts or payments for
operating activities and items of income or expenses associated with the receipt and disposal of funds
for investment and financing activities.