Most companies use the indirect method of preparing a cash flow statement. You are invited to meet
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Most companies use the indirect method of preparing a cash flow statement. You are invited to meet a finance director of a leading listed company which uses the indirect method. Suggest two arguments you could give to this person in support of the direct method rather than the indirect method.
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Increased Clarity and Transparency One argument in favor of the direct method is that it provides increased clarity and transparency in presenting cas...View the full answer
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