Certified Public Accounting Firm

Cash Flows

Articles On This Page

Statement of Cash Flows –FASB Discusses Statement of Cash Flows

Cash Flows – FASB Discusses Statement of Cash Flows

Articles

Statement of Cash Flows –FASB Discusses Statement of Cash Flows

Summary - As reported in its “Summary of Decisions” publication, the FASB met on November 8, 2023, and decided to add a project to its technical agenda to make targeted improvements to the statement of cash flows to provide investors with decision-useful information.

The FASB decided that the scope of the project is to:

  • Reorganize and disaggregate the statement of cash flows for financial institutions to improve the decision-usefulness of that statement; and
  • Develop a disclosure about an entity’s cash interest income received.

The FASB chair retained a project about the statement of cash flows on the research agenda to explore further potential improvements.

For more information, click here.

© 2024 CCH Incorporated and/or its affiliates. All rights reserved. Used with permission.

Cash Flows – FASB Discusses Statement of Cash Flows

Summary - As reported in its “Summary of Decisions” publication, the FASB met on June 29, 2022, and discussed the pre-agenda research performed to date, including stakeholder feedback received on the statement of cash flows and related disclosures in response to the June 2021 Invitation to Comment, Agenda Consultation, and other user feedback.

The FASB chair added a project to the FASB research agenda to explore targeted improvements to the statement of cash flows to provide additional decision-useful information for investors and other allocators of capital.

The FASB provided suggestions on, and observations about, the focus and prioritization of continued research efforts on:

Disaggregation of certain cash flow line items (specifically working capital and amortization/depreciation);
Developing certain supplementary direct cash flow method disclosures; and
Certain Codification improvements to Topic 230, Statement of Cash Flows. 

For more information, click here.

© 2022 CCH Incorporated and/or its affiliates. All rights reserved. Used with permission.