Cash flow items must be categorized into one of four categories: financing, investing, noncash, or operating.
Requirement
1. Answer the following questions about the statement of cash flows:
a. List the categories of cash flows in the order they appear in the statement of cash flows.
b. What is the “key reconciling figure” for the statement of cash flows? Where do you get this figure?
c. What is the first dollar amount reported on the indirect method statement of cash flows?