现金流量表英文版ch07 statement of cash flows

Chapter7StatementofCashflowsIAS721.Maindefinitions:Cashandcashequivalentscomprisecashonhandanddemanddeposits,togetherwithshort-term,highlyliquidinvestmentsthatarereadilyconvertibletoaknownamountofcash,andthataresubjecttoaninsignificantriskofchangesinvalue.Guidancenotesindicatethataninvestmentnormallymeetsthedefinitionofacashequivalentwhenithasamaturityofthreemonthsorlessfromthedateofacquisition.3Equityinvestmentsarenormallyexcluded,unlesstheyareinsubstanceacashequivalent(e.g.preferredsharesacquiredwithinthreemonthsoftheirspecifiedredemptiondate).Bankoverdraftswhicharerepayableondemandandwhichformanintegralpartofanenterprise'scashmanagementarealsoincludedasacomponentofcashandcashequivalents.42.PresentationoftheStatementofCashFlowsCashflowsmustbeanalysedbetweenoperating,investingandfinancingactivities.Operatingactivitiesaretheprincipalrevenue-producingactivitiesoftheenterpriseandotheractivitiesthatarenotinvestingorfinancingactivities.Investingactivitiesaretheacquisitionanddisposaloflong-termassetsandotherinvestmentsnotincludedincashequivalents.Financingactivitiesareactivitiesthatresultinchangesinthesizeandcompositionoftheequitycapitalandborrowingsoftheenterprise.115Examplesofcashflowsfromoperatingactivitiesare:(a)cashreceiptsfromthesaleofgoodsandtherenderingofservices;(b)cashreceiptsfromroyalties,fees,commissionsandotherrevenue;(c)cashpaymentstosuppliersforgoodsandservices;(d)cashpaymentstoandonbehalfofemployees;116Examplesofcashflowsarisingfrominvestingactivitiesare:(a)cashpaymentstoacquireproperty,plantandequipment,intangiblesandotherlong-termassets.Thesepaymentsincludethoserelatingtocapitaliseddevelopmentcostsandself-constructedproperty,plantandequipment;(b)cashreceiptsfromsalesofproperty,plantandequipment,intangiblesandotherlong-termassets;(c)cashpaymentstoacquireequityordebtinstrumentsofotherenterprisesandinterestsinjointventures;(d)cashreceiptsfromsalesofequityordebtinstrumentsofotherenterprisesandinterestsinjointventures;(e)cashadvancesandloansmadetootherparties(otherthanadvancesandloansmadebyafinancialinstitution);(f)cashreceiptsfromtherepaymentofadvancesandloansmadetootherparties(otherthanadvancesandloansofafinancialinstitution);117Examplesofcashflowsarisingfromfinancingactivitiesare:(a)cashproceedsfromissuingsharesorotherequityinstruments;(b)cashpaymentstoownerstoacquireorredeemtheenterprise'sshares;(c)cashproceedsfromissuingdebentures,loans,notes,bonds,mortgagesandothershortorlong-termborrowings;(d)cashrepaymentsofamountsborrowed;and(e)cashpaymentsbyalesseeforthereductionoftheoutstandingliabilityrelatingtoafinancelease.118InterestandDividendsinterestanddividendsreceivedandpaidmaybeclassifiedasoperating,investing,orfinancingcashflows,providedthattheyareclassifiedconsistentlyfromperiodtoperiod119TaxesonIncomecashflowsarisingfromtaxesonincomearenormallyclassifiedasoperating,unlesstheycanbespecificallyidentifiedwithfinancingorinvestingactivities11103.DisclosureInvestingandfinancingtransactionswhichdonotrequiretheuseofcashshouldbeexcludedfromthestatementofcashflows,buttheyshouldbeseparatelydisclosedelsewhereinthefinancialstatements.Thecomponentsofcashandcashequivalentsshouldbedisclosed,andareconciliationpresentedtoamountsreportedinthestatementoffinancialposition.Theamountofcashandcashequivalentsheldbytheenterprisethatisnotavailableforusebythegroupshouldbedisclosed,togetherwithacommentarybymanagement.11114.MethodsofpreparingstatementofcashflowsForoperatingcashflows,thedirectmethodofpresentationisencouraged,buttheindirectmethodisacceptable1112directmethodThedirectmethodshowseachmajorclassofgrosscashreceiptsandgrosscashpayments.Theoperatingcashflowssectionofthestatementofcashflowsunderthedirectmethodwouldappearsomethinglikethis:Cashreceiptsfromcustomersxx,xxxCashpaidtosuppliersxx,xxxCashpaidtoemployeesxx,xxxCashpaidforotheroperatingexpensesxx,xxxInterestpaidxx,xxxIncometaxespaidxx,xxxNetcashfromoperatingactivitiesxx,xxx13indirectmethodTheindirectmethod,wherebynetprofitorlossisadjustedfortheeffectsoftransactionsofanon-cashnature,anydeferralsoraccrualsofpastorfutureoperatingcashreceiptsorpayments,anditemsofincomeorexpenseassociatedwithinvestingorfinancingcashflows.14Theoperatingcashflowssectionofthestatementofcashflowsundertheindirectmethodwouldappearsomethinglikethis:Profitbeforeinterestandincometaxesxx,xxxAddbackdepreciationxx,xxxAddbackamortisationofgoodwillxx,xxxDecreaseinreceivablesxx,xxxDecreaseininventoriesxx,xxxIncreaseintradepayablesxx,xxxInterestpaidxx,xxxIncometaxespaidxx,xxxNetcashfromoperatingactivitiesxx,xxx15showtheabilitytogeneratecashcashismorecomprehensivethanprofitcreditorsaresatisfiedabettermeansofcomparingresultssatisfiestheneedsofallusersbettereasiertopreparecanbeauditedeasiereasiertobeunderstoodprovidemoreinformationforecastscanbecomparedwithactualcashflows11Theadvantagesofstatementofcashflows