Summary of ح4 قائمة التدفقات النقدية دورة فني محاسبة الطريقة غير المباشرة قائمة التدفقات النقدية cash flow

Summary of Main Ideas, Concepts, and Lessons

The video discusses the preparation of the Statement of Cash Flows, focusing on the two methods: the Direct Method and the Indirect Method. It emphasizes that while the Direct Method is preferred by standards, the Indirect Method is more commonly used in practice.

Key Concepts:

• Statement of Cash Flows: A financial statement that shows how cash is generated and used during a specific period.
• Direct Method vs. Indirect Method:
  • Direct Method: Lists cash inflows and outflows directly related to operating activities.
  • Indirect Method: Starts with Net Income and adjusts for changes in balance sheet accounts to convert to cash basis.

Methodology for the Indirect Method:

1. Start with Net Income:
   • Use the net profit from the income statement as the starting point.
2. Adjust for Non-Cash Transactions:
   • Add back Depreciation: Since it is a non-cash expense, it is added back to Net Income.
   • Adjust for Gains and Losses on Asset Sales:
     • Subtract gains from the sale of assets (non-operating).
     • Add losses from the sale of assets.
3. Adjust for Changes in Current Assets and Liabilities:
   • Current Assets:
     • If Current Assets increase, subtract the increase from Net Income.
     • If Current Assets decrease, add the decrease to Net Income.
   • Current Liabilities:
     • If Current Liabilities increase, add the increase to Net Income.
     • If Current Liabilities decrease, subtract the decrease from Net Income.
4. Calculate Net Cash Flow from Operating Activities:
   • After making all adjustments, the resulting figure represents the net cash flow from operating activities.
5. Prepare the Cash Flow Statement:
   • Summarize all cash inflows and outflows to complete the statement.

Practical Example:

The video includes a practical example where the speaker demonstrates how to calculate cash flows from operating activities using the Indirect Method by analyzing changes in Current Assets and liabilities based on a provided income statement.

Important Notes:

• The speaker highlights the importance of practice and familiarity with the concepts to ease the preparation of cash flow statements.
• The distinction between operating, investing, and financing activities is crucial for accurate cash flow reporting.

Speakers/Sources Featured:

The video appears to be delivered by an instructor or educator specializing in accounting, though specific names are not mentioned in the subtitles provided.

Notable Quotes

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Category

Educational

Video