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16.4 Prepare the Completed Statement of Cash Flows Using the Indirect Method

Complete Statement​

Format:

Statement of Cash Flows
[Company Name]
[Period]

OPERATING ACTIVITIES
Net Income                          €XX,XXX
Adjustments:
  Depreciation                        X,XXX
  [Other adjustments]                 X,XXX
Changes in Current Assets/Liabilities:
  [Changes]                           X,XXX
Cash from Operating Activities       €XX,XXX

INVESTING ACTIVITIES
Purchase of Equipment               (€XX,XXX)
Sale of Equipment                      X,XXX
Cash from (used in) Investing        (€XX,XXX)

FINANCING ACTIVITIES
Borrowing                              X,XXX
Repayment of Loan                    (X,XXX)
Payment of Dividends                 (X,XXX)
Cash from (used in) Financing         €XX,XXX

Net Change in Cash                    €XX,XXX
Beginning Cash                         XX,XXX
Ending Cash                           €XX,XXX

Luxembourg PCN Format​

PCN Requirements:

  • Must follow PCN structure
  • Must use proper classifications
  • Must show all activities
  • Must comply with standards

Luxembourg Compliance Note​

Complete statement in Luxembourg:

  • Must follow PCN format
  • Must include all sections
  • Must be accurate
  • Must be filed if required

Think It Through​

What information do you need to prepare a complete statement of cash flows?