James Co. manufactures and sells t-shirts. It has been in business for three years and is contemplating raising capital. Being everyone you know owns at least five t-shirts, you are considering investing in James Co. To help you make a decision, you want to examine the financial statements. When you ask James Co., it provides you comparative income statements and its current balance sheet. James Co doesn’t give you a cash flow statement and you are wondering if one needs to be presented.

Requirement: 

Utilize the FASB’s Codification to determine if a cash flow statement is required, and if so, is it required for only the current period or for both the current and prior period? Provide specific Codification references.