This
FAQ will demonstrate the Cash Flow worksheet. The worksheet is designed as a
one-time setup tool to assist in the efficient and accurate preparation of the
Cash Flow Statement. Unlike other areas of the financial statements, the cash
flow statement is prepared using the cash flow worksheet. Cash flow information
is not directly derived from the trial balance information and can be manually
entered into the worksheet. Any updates made within the cash flow
worksheet will flow through to the financial statements.
The
Cash Flow Worksheet:
Is easy to
use
Maps
directly to trial balance
Allows
direct input for line items not in the trial balance
Rolls values
forward each year
Saves time
each year
There
are 5 steps to complete the Cash Flow Worksheet:
1. Review the cash flows options for the engagement