WCInv: why need to add back Accred taxes and expenses?
text book Readh 43, page 438, Q2.
in the tab of "statement of Cash flows in Millions": for Accounts receivable, as (39), does it mean an increase in AR or decrease? for item: Accrrued taxes and expenses in 23, an increase or decrease? thanks作者: Pegasus2008 时间: 2011-7-11 19:19
not sure about accrued taxes/expenses
if you are looking at cash flow statement, I believe a (39) means an outflow of cash, therefore A/R must have gone up because when A/R goes up, cash goes down b/c you aren't actually collecting it.作者: benbenxiong 时间: 2011-7-11 19:19
accrued taxes are taxes you have not paid out in cash, they are a liability that increased (like accounts payable) which is inflow of cash.
agree with andrew on the other account
Edited 1 time(s). Last edit at Monday, March 7, 2011 at 09:55PM by starbuk.
