There are no prerequisites

Course Description

The statement of cash flows is one of the most important and illustrative financial statements for a business. This statement is required as part of a full set of financial statements, and must be prepared in conformity with generally accepted accounting principles. The statement of cash flows also must be included in both annual and interim financial statements.

This course discusses the requirements of ASC 230, Statement of Cash Flows and ASC 958-205, Not-for-Profit Entities: Presentation of Financial Statements, which requires the statement of cash flows for not-for-profit entities. Other topics covered in this course include 1) reconciling net income to cash flow from operations, 2) differentiating between operating, investing, and financing activities, 3) using ratios to analyze the cash flows, and much more. Numerous examples and sample statements make learning the topic practical and hands-on.


Delta Publishing

For many years, Delta Publishing has offered a wide variety of continuing education courses for financial professionals. Topics covered by Delta’s courses include accounting, financial management, budgeting, investments, financial statement reporting, business management, IFRS, ethics, valuations, real estate, and business writing. The diversity and breadth of Delta’s course offerings make the company a prolific and unique contributor to the CPE world. Delta’s well-credentialed authors and contributors have also been published in numerous academic and professional journals and quoted by some of the leading financial media outlets.

Course Specifics

Jan 23, 2018
There are no prerequisites

Compliance Information

Qualifies for CA Fraud: No

Learning Objectives

Upon successful completion of this course, participants will be able to:

  • Recognize the use of and reportable transactions on a statement of cash flows.
  • Identify cash inflows and outflows for operating, investing, and financing activities.
  • Recognize how different cash variables affect the statement of cash flows.
  • Recognize acceptable methods of reporting and differences between IFRS and U.S. GAAP for the statement of cash flows.

Table of Contents

Learning Objectives

Cash Flow Statement Format

Steps in Preparation of Statement of Cash Flows

Cash and Cash Equivalents

Reconciliation of Net Income to Cash Flow from Operations

Direct Method

Indirect (Reconciliation) Method

Gross vs. Net Cash Flows

Operating Activities

Investing Activities

Financing Activities


Noncash Investing and Financing Activities

Special Items in the Income Statement

Agency Arrangements

Hedging Transactions

Foreign Currency Cash Flows

Comprehensive Examples

Example Two- Direct and Indirect Methods

Cash Flow Analysis

Operating Section

Investing Section

Financing Section

Financial Liquidity

Financial Flexibility

Free Cash Flow

IFRS Differences Affecting the Statement of Cash Flows

Review Questions

Review Question Answers and Rationales

Annual Report References



Qualified Assessment

Answer Sheet

Course Evaluation


Choose Your Preferred Format

Online Access

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online access
Hard Copy

Our self-study materials are authored by top-quality, industry experts. You’ll receive a bound notebook of all the course materials, shipped to you within one business day. In addition, you’ll also have full online access. Each self-study package includes a robust collection of learning and reference materials to help you cover the information efficiently and put it into practice immediately.

hard copy
Self-Study Video

Experience high-quality instruction with our Self-Study Videos, available to you 24/7. With more than 80+ videos currently in the Western CPE Self-Study Video library, you can see and hear our expert instructors deliver the information you need in a dynamic way that allows you to immediately apply your learning. Unlike a live course or webcast, you can complete the course on your own time, playing and pausing as needed. Self-Study Videos allow you to complete your CPE requirements on your own time.

hard copy

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