Wiley GAAP 2015: Interpretation and Application of Generally Accepted Accounting Principles 2015

Chapter 7ASC 230 STATEMENT OF CASH FLOWS

PERSPECTIVE AND ISSUES

   Subtopic

   Scope and Scope Exceptions

   Overview

DEFINITIONS OF TERMS

CONCEPTS, RULES, AND EXAMPLES

   Cash Focus

   Classification of Cash Receipts and Disbursements

   Operating Activities Presentation

   Other Requirements

   Entities Exempt from Providing a Statement of Cash Flows

   Net Reporting by Financial Institutions

   Not-for-Profit Organizations

   Reporting Hedging Transactions

   Reporting Foreign Currency Cash Flows

   Preparation of the Statement

   Statement of Cash Flows for Consolidated Entities

   Disclosures

   Other Sources (ASC 230-10-60)

PERSPECTIVE AND ISSUES

Subtopic

ASC 230, Statement of Cash Flows, contains one subtopic:

• ASC 230-10 Overall, that establishes standards for cash flow reporting in general purpose financial statements.

Scope and Scope Exceptions

A statement of cash flows is a required part of a complete set of financial statements for business enterprises and not-for-profit organizations. The following are not required to present a statement of cash flows:

• Defined pension plans that present financial information under Topic 960,
• Other employee plans that present information similar to ASC 960,
• Certain investment companies, and
• “A common trust fund, variable annuity account, or similar fund maintained by a bank, insurance entity, or other entity in its capacity as a trustee, administrator, or guardian for the collective investment and reinvestment of moneys.”