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Preparation of MBRS Report – Financial Statements 5 – Statement of Cash Flows

The options for preparing Statement of Cash Flows are Direct and Indirect method under the accounting standards.

For the indirect method, preparers should note that there are a number of cells that have been programmed to be autosubtracted from the subtotals/total in this statement. After filling in the statement, preparers may hide unused rows by using the “Untagged rows” function at the tool box for ease of view. Below are a step-by-step guide and an illustration of how it should be filled.

M1 – After filling in all the adjustments to the profit (loss) before tax, ensure to check that the “Operating surplus (deficit) before working capital changes” is equal to the figure in the FS.

M2 – After filling in all the cash generated from (used in) operating activities, ensure to check that the “Net cash flows from (used in) operating activities” is equal to the figure in the FS.

M3 – After filling in all the cash flows from (used in) investing activities, ensure to check that the “Net cash flows from (used in) investing activities” is equal to the figure in the FS.

M4 – After filling in all the cash flows from (used in) financing activities, ensure to check that the “Net cash flows from (used in) financing activities” is equal to the figure in the FS.

M5 – Ensure that the “Net increase (decrease) in cash and cash equivalents before effect of exchange rate changes is equal to the figure in the FS.

M6 – Ensure that the “Cash and cash equivalents at beginning of period” and the “Cash and cash equivalents at end of period” are equal to the figures in the FS.

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MBRS Conversion and Reporting