In this topic we will be exploring more detail concerning the financial reports an organization produces for its external readership.
This includes reports on an organizations cash flow and how it is useful to stakeholders. A cash flow report states where an organization has sourced cash from and where cash has been spent.
Topic 2: Cash Flows & Annual Reports
After studying this topic students will be able to:
Understand the structure and form of statutory financial statements, and the usual content of annual reports;
Understand the reasons for consolidated accounts;
Understand the content and uses of financial statements;
Put the dollar amount of a company’s profit into perspective by relating it to the company’s sales and assets;
Discuss the “quality” of current assets for a business;
Explain the linkage between cash flow analysis and working capital management;
