[GNC] Miscalculation in cashflow reports

[Adrien Monteleone]

I’ll provide something more detailed later, but the current report seems either way off, or just a first attempt that didn’t get fully fleshed out.

A Statement of Cashflows has 3 main parts:

Operating Activities
Financing Activities
Investing Activities

There are rule differences between GAAP and IAS (and I’m sure others) that will require the user to select the desired accounts for each of these three parts of the report. That is, there will need to be THREE ‘accounts’ selection sections. (some reports already have a second ‘filter by’ section, so I would think this should be possible)

The basic form is something like this:

----------
Cash & Cash Equivalents, beginning of period:

Cash Flow from Operations:
Cash Flow from Financing:
Cash Flow from Investing:

Net Increase in Cash & Cash Equivalents:

Cash & Cash Equivalents, end of period:
----------


Of course, the main three sections can get more detailed and complicated, I’ll research what I can find on the full gamut of what can be included therein and report back.

What I have found so far, is that certainly the Operations section will contain several adjustments to account for anything accrued or transacted in credit as opposed to cash. (i.e., changes to AR/AP, Inventory, Depreciation, Unearned Revenue, Accrued Expenses, Deferred Taxes, Stock Disbursement Compensation, etc.)

I don’t see anything concerning a ‘personal’ CashFlow Statement, but I don’t see why it be possible based on account selection. Such a report simply wouldn’t have as much detail and the user would have less accounts to include than a business and the idea of ‘Operations’ would be different, though the accounts be the same.

Regards,
Adrien

> On Jul 30, 2019, at 10:19 AM, Adrien Monteleone <adrien.monteleone at lusfiber.net> wrote:
> 
> 
> 
>> On Jul 30, 2019, at 9:13 AM, Geert Janssens <geert.gnucash at kobaltwit.be> wrote:
>> 
>> 
>> 
>> I really would like to have input from users with actual accounting 
>> backgrounds on 
>> 1. what a cash flow report really should display
>> 2. whether our current cash flow report actually does that or is in effect a 
>> totally different kind of report with a misleading name.
> 
> I’m inclined to go with the latter on #2. It doesn’t look like what I remember from my accounting studies. While I’m not an accountant, I’ll check my references for their corresponding reports and post some samples here.
> 
> Regards,
> Adrien