STATEMENT OF CASH FLOWS – INVESTING AND FINANCING CASH FLOWS

The following is a series of computations in computing the amount of net profit or loss of an entity:

Increases in assets (including those without beginning balances) P xx

Less: Decreases in assets XX
Increases in liabilities (including those without beginning balances) XX
Add: Decreases in liabilities XX
Net increase (decrease) in net assets or equity P xx
Add: Declared dividends XX
Purchase of treasury shares XX
Other comprehensive loss for the year XX
Less: Issue price of shares (including for noncash assets) XX
Proceeds from reissuance of treasury shares XX
Conversion of bonds to ordinary/preference shares XX
Other comprehensive income for the year XX
Profit (loss) during the year P xx

Based on the above computational procedures, transactions not involving the equity shall not be
considered in the computations. The focus shall be fixed on the changes between the beginning and
ending balances of assets and liabilities.