The following detailed description of the preparation method and formula for each item in the above order:
I. Determination of supplementary information "net increase in cash and cash equivalents"
1, the closing balance of cash = the balance sheet "monetary funds Closing balance of cash = Balance Sheet "Money Funds";
2. Opening balance of cash = Balance Sheet "Money Funds" opening balance;
3. Net increase in cash and cash equivalents = Closing balance of cash - Opening balance of cash.
4, the general business rarely have cash equivalents, so the formula does not take into account this factor, if there should be filled out accordingly.
Second, to determine the main table "net cash flow from financing activities"
1, cash received from the absorption of investment
= (paid-in capital or equity at the end of the period - paid-in capital or equity at the beginning of the period) + (bonds payable at the end of the period - bonds payable at the beginning of the period)
This formula does not take this factor into account. Bonds payable at the beginning of the period)
2. Cash received from borrowings
=(short-term borrowings at the end of the period - short-term borrowings at the beginning of the period) + (long-term borrowings at the end of the period - long-term borrowings at the beginning of the period)
3. Cash received from other financing activities
For example, cash receipts from penalties for failure of investors to pay equity on time.
4, cash paid for debt repayment
= (beginning of short-term borrowings - end of short-term borrowings) + (beginning of long-term borrowings - end of long-term borrowings) (excluding interest) + (beginning of bonds payable - end of bonds payable) (excluding interest)
5, the distribution of dividends, profits or interest paid in cash
= dividends payable debit + interest expenses + long-term borrowing interest + interest on construction in progress + interest on bonds payable - accrued expenses in the "accrued interest" credit balance -Discounted interest expense on bills
6, other cash paid in connection with financing activities
such as cash paid for financing expenses, cash paid for finance leases, cash paid for the reduction of registered capital (acquisition of the Company's shares, the return of associated units of the joint venture investment, etc.), the purchase of fixed assets in the form of installments, in addition to the cash paid for the first installment. cash paid in installments other than the first installment payment, etc.
Expanded Information;
Preparation Principles
(1) The principle of categorization is reflected.
In order to provide users of accounting statements with information about cash flow, and combined with the statement of cash flow and other financial information to make a correct evaluation of the enterprise, the statement of cash flow should provide the impact of the enterprise's operating activities, investing activities and financing activities on the cash flow, that is, the statement of cash flow should be reflected separately in the statement of cash flow generated by operating activities, cash flow generated by investing activities and financing activities Cash flows from operating activities, cash flows from investing activities, and cash flows from financing activities, respectively, and the total amount of cash flows from operating activities and the result of their offset.
(2) the principle of flexible utilization of gross and net reflections.
In order to provide information on the total cash inflows and outflows of the enterprise, the cash flow statement should generally be reflected in accordance with the total cash flow. A certain period of cash flow can usually be reflected in gross cash flow or net cash flow. Gross cash flow means reflecting the total cash inflows and outflows separately, and not reflected in the net cash inflows and outflows after offsetting.
Net cash flow is the net amount of cash inflows and outflows. However, cash flows in gross terms provide more relevant and useful information than in net terms. Therefore, cash flows should normally be reflected in their gross amount. However, cash flows may be netted in the following cases:
One is for certain items that are not significant. For example, cash receipts from the disposal of fixed assets and related cash expenditures can be netted off and presented as a net amount.
The second is cash flow items that do not reflect the enterprise's own transactions or events. For example, the securities company receives on behalf of customers for the delivery of money for the purchase and sale of securities, futures exchanges to accept customer delivery of money in kind, etc.; Another example, the bank to absorb the account holder's acceptance and repayment of demand deposits. These items are not cash flow items of the enterprise's own business and can be reflected as net amounts.
(3) reasonable division of operating activities, investing activities and financing activities. Operating activities, investing activities and financing activities should be divided in accordance with their concepts, but some transactions or events are not easy to divide, such as interest income and dividend income, interest expense and dividend expense as an operating activity, or as an investment or financing activities have different views.
In China, according to people's customary understanding, interest income and dividend income are categorized as investing activities, and interest expense and dividend expense are categorized as financing activities. Certain cash receipts and expenditures may be characterized by more than one type of cash flow, and the classification needs to be determined on a case-by-case basis.
For example, the actual payment of income tax is usually treated as a cash flow from operating activities because of the difficulty in distinguishing whether the payment is income tax arising from operating activities or income tax arising from investing or financing activities.
For some special items, such as natural disaster losses and insurance claims, if it can be distinguished between insurance claims for losses of fixed assets, they are usually treated as investing activities, and insurance claims for losses of current assets, they are usually treated as operating activities; if it is not possible to distinguish between insurance claims for losses of fixed assets or current assets, they are usually categorized as cash flows from operating activities.
Therefore, enterprises should reasonably divide operating activities, investing activities and financing activities, and for certain cash receipts and payments or special projects, they should be divided according to the specific circumstances and nature of the classification, respectively, into the categories of operating activities, investing activities and financing activities, and consistently follow this division standard.
Baidu Encyclopedia - Statement of Cash Flows