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Statement of Cash Flows
It's a fiscal summary that tracks changes in balance sheet entries and the impact of income on cash and equivalents, sorting these modifications by operating, investing, and financing functions.
Indirect Method
A cash flow statement preparation method that adjusts net income for changes in non-cash accounts to calculate operating cash flow.
Operating Activities
Operating activities include the primary, day-to-day tasks and transactions related to running a business, which contribute to generating revenue.
Direct Method
A cash flow statement reporting approach that lists major operating cash receipts and payments during a period.
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