What are two ways to report a companys net cash flow

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1. Describe the relationship between changes in cash and changes in noncash assets, liabilities, and stockholders' equity.

2. What are two ways to report a company's net cash flow from operating activities? Briefly describe the advantages and disadvantages of each method.

3. Why are depreciation, depletion, and amortization added to net income when the indirect method is used to report net cash flows from operating activities?

4. Where do the components of the changes in retained earnings appear in the state- ment of cash flows? Assume the indirect method is used to prepare the statement of cash flows.

Reference no: EM13943862

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