Cash Flow Statement (Indirect Method)

Cash Flow from Operating activities

Net Profit before taxation

ADD non-operating exp/non-cash expenses
Less non-operating income/non-cash income
Add Decrease in current assets
Add Increase in current liabilities

less Increase in current assets

Less decrease in current liabilities
Total (A)
Cash Flow from Investing activities
Less Purchase of fixed assets/investment
ADD Sale of fixed assets/investment
ADD interest received/divided received/rent received
Total (B)
Cash Flow from financing activities
ADD Issue of share/debenture/loan
Less Redemption of share/debenture/loan
Less dividend paid/interest paid
Total (C)
Total Cash flow during the year (A+B+C)
Add Cash and Cash equivalent at the opening of the year
= Cash and Cash equivalent at the end of the year
 Cash Flow Statement (Direct Method)
Cash Flow from Operating activities

Cash received from Customer

Less Cash Paid for Purchase/ Merchandise
Less Cash Paid to employees
Less Income Tax
Total (A)

Cash Flow from Investing activities

Less Purchase of fixed assets/investment

ADD Sale of fixed assets/investment

ADD interest received/divided received/rent received

Total (B)
Cash Flow from financing activities

ADD Issue of share/debenture/loan

Less Redemption of share/debenture/loan

Less dividend paid/interest paid

Total (C)

Total Cash flow during the year (A+B+C)

Add Cash and Cash equivalent at the opening of the year