Direct Method - Cash Flows Operating
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9 Terms
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Cash From Customers
Sales Revenue ± Accounts Receivable & Unearned/Deferred Revenue = Cash From Customers
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Cash Paid to Suppliers (Cash Paid for Inventory)
(Neg: COGS) ± Inventory & Accounts Payable = Cash For Inventory
3
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Cash Paid for Rent
(Neg: Rent Expense) ± Prepaid Rent = Cash Paid for Rent
4
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Cash Paid for Miscellaneous Items
(Neg: Misc. Expense) ± Other Current Payables = Cash Paid for Miscellaneous Items
5
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Cash Paid for Interest
(Neg: Interest Expense) ± Premium on Bonds Payable = Cash Paid for Interest
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Note 
Flashcards (50)