Course Detail(A190 : Preparation and Presentation of Separate and Consolidated Statement of Cash Flows (FRS 7, FRS 21))

A190 : Preparation and Presentation of Separate and Consolidated Statement of Cash Flows (FRS 7, FRS 21)

7.00 CPE Hours (Category 1)
Classroom

Introduction
Cash flow information helps the users to assess an entity’s ability to generate cash and cash equivalents as well as useful to users in assessing and comparing the present value of the future cash flows of different entities. Information on historical cash flows is often used as basis for predicting cash flows in the future as to the amount, timing and certainty of such cash flows. FRS7(IAS7) prescribes the technical requirements for the preparation and presentation of cash flow components in the cash flow statement as well as what constitute cash and cash equivalent.
 
Programme Objective
This workshop provides hands on coverage of the technical requirements of FRS7(IAS7). The workshop uses practical examples and case studies to clarify the technical requirements of the Standard and the practical problems often encountered in preparing a statement of cash flows.

Programme Outline

1.Understanding the Technical Requirements of the Standard
 

  • Determining cash and cash equivalents
    • Short-dated instruments used to manage cash flows
    • Short-term borrowing facilities (bank overdraft)
    • Distinguishing investing activities from cash and cash equivalent
    • Movement between cash and cash equivalent
    • Cash deposits pledged to a lender for borrowing facilities
    • Foreign exchange arising from cash and cash equivalent
    • Disclosure of cash and cash equivalent
 
  • Presenting and reporting operating activities
    • Indirect methods
      • Methodologies and practical problems
      • Dealing with realised and unrealised foreign exchange
      • Adjustment for provisions, allowance for impairments
      • Movements of other operating items
    • Direct method
      • Methodologies of finding cash payments and cash receipts
 
  • Presenting investing and financing activities
    • Reporting cash flows in net basis or gross basis
 
  • Other issues
    • How to decide whether interest, dividend and taxation is operating, investing or financing activities
    • Identifying and disclosure of non-cash transactions
    • Cash flows from assets that are regularly held for rental and sale
 
  • Disclosure of reconciliation of financing activities with liabilities recognised in statement of financial position
 
2. Preparing Consolidated Statement of Cash Flows
  • Methodologies of preparing consolidates cash flows:
    • Using sum of all the subsidiaries’ statement of cash flows
    • Using consolidated financial statements
    • Comparing the two methods in practice
    • The pros and cons of the two method
  • Handling foreign subsidiaries and associates
    • Foreign exchange translation gain or loss recognised in other comprehensive income
    • Allocation of foreign exchange translation difference to the assets and liabilities of a foreign subsidiary
    • Dealing with dividend paid to non-controlling interest
    • Acquisition and disposal of subsidiaries and business units
    • Cash flows arising from acquisition of a subsidiary in the separate and consolidated statements of cash flows
  • Foreign currency cash flows (Incorporating FRS21/IAS21)
    • Collecting detail foreign exchange information
    • Allocating translation foreign exchange to line items in operating, investing, financing and cash and cash equivalent
 
Training Methodology
Lecture style, with practical illustrations, technical flow-charts, conceptual “mind maps” and interactive discussions.
 
Closing Date for Registration
1 week before programme or until full enrolment

Intended For

This programme is suitable for all Finance Professionals, Audit Professionals, Members of Audit Committee, Finance Directors and Regulators. Those who are keen on attending a practical course that focuses on the preparation of statements of cash flows are welcome to attend.

Competency Mapping

Category 1 = 7.00 Hours

Schedule & Fees

Date & Time

19 Feb 2020 (9:00 AM - 5:00 PM)

Registration is closed

Programme Facilitator(s)

Danny Tan

Date & Time

23 Jul 2019 (9:00 AM - 5:00 PM)

Registration is closed

Programme Facilitator(s)

Danny Tan

Date & Time

25 Feb 2019 (9:00 AM - 5:00 PM)

Registration is closed

Programme Facilitator(s)

Danny Tan

Testimonial

Funding

No funding Available!

Programme Facilitator(s)


Danny Tan

Danny has over 30 years of experience in public practice, commerce and industry. He was trained with a firm of Chartered Accountants in London where he worked for over 10 years in the audit and consultancy. He also held the positions of business development and business operation manager with two UK multinational companies based in London for 5 years. Danny specialises in International Financial Reporting Standards (IFRSs) and in the last 15 years he is a partner of a firm providing training and consulting in the areas of preparing and presenting financial statements in accordance with IFRSs.


Danny holds an Honours Degree in Economics (major in finance and investment) from Manchester Metropolitan University (UK), MBA from Heriot-Watt University (UK) and Master in Advance Business Practice from University of South Australia. He is a fellow member of Chartered Instituted of Management Accountants, a fellow member of Association of Chartered Certified Accountants, a member of Malaysian Institute of Accountants and an associate member of Chartered Tax Institute of Malaysia.
 

Introduction
Cash flow information helps the users to assess an entity’s ability to generate cash and cash equivalents as well as useful to users in assessing and comparing the present value of the future cash flows of different entities. Information on historical cash flows is often used as basis for predicting cash flows in the future as to the amount, timing and certainty of such cash flows. FRS7(IAS7) prescribes the technical requirements for the preparation and presentation of cash flow components in the cash flow statement as well as what constitute cash and cash equivalent.
 
Programme Objective
This workshop provides hands on coverage of the technical requirements of FRS7(IAS7). The workshop uses practical examples and case studies to clarify the technical requirements of the Standard and the practical problems often encountered in preparing a statement of cash flows.

Programme Outline

1.Understanding the Technical Requirements of the Standard
 

  • Determining cash and cash equivalents
    • Short-dated instruments used to manage cash flows
    • Short-term borrowing facilities (bank overdraft)
    • Distinguishing investing activities from cash and cash equivalent
    • Movement between cash and cash equivalent
    • Cash deposits pledged to a lender for borrowing facilities
    • Foreign exchange arising from cash and cash equivalent
    • Disclosure of cash and cash equivalent
 
  • Presenting and reporting operating activities
    • Indirect methods
      • Methodologies and practical problems
      • Dealing with realised and unrealised foreign exchange
      • Adjustment for provisions, allowance for impairments
      • Movements of other operating items
    • Direct method
      • Methodologies of finding cash payments and cash receipts
 
  • Presenting investing and financing activities
    • Reporting cash flows in net basis or gross basis
 
  • Other issues
    • How to decide whether interest, dividend and taxation is operating, investing or financing activities
    • Identifying and disclosure of non-cash transactions
    • Cash flows from assets that are regularly held for rental and sale
 
  • Disclosure of reconciliation of financing activities with liabilities recognised in statement of financial position
 
2. Preparing Consolidated Statement of Cash Flows
  • Methodologies of preparing consolidates cash flows:
    • Using sum of all the subsidiaries’ statement of cash flows
    • Using consolidated financial statements
    • Comparing the two methods in practice
    • The pros and cons of the two method
  • Handling foreign subsidiaries and associates
    • Foreign exchange translation gain or loss recognised in other comprehensive income
    • Allocation of foreign exchange translation difference to the assets and liabilities of a foreign subsidiary
    • Dealing with dividend paid to non-controlling interest
    • Acquisition and disposal of subsidiaries and business units
    • Cash flows arising from acquisition of a subsidiary in the separate and consolidated statements of cash flows
  • Foreign currency cash flows (Incorporating FRS21/IAS21)
    • Collecting detail foreign exchange information
    • Allocating translation foreign exchange to line items in operating, investing, financing and cash and cash equivalent
 
Training Methodology
Lecture style, with practical illustrations, technical flow-charts, conceptual “mind maps” and interactive discussions.
 
Closing Date for Registration
1 week before programme or until full enrolment

Intended For

This programme is suitable for all Finance Professionals, Audit Professionals, Members of Audit Committee, Finance Directors and Regulators. Those who are keen on attending a practical course that focuses on the preparation of statements of cash flows are welcome to attend.

Competency Mapping

Category 1 = 7.00 Hours

Programme Facilitator(s)

Danny Tan

Danny has over 30 years of experience in public practice, commerce and industry. He was trained with a firm of Chartered Accountants in London where he worked for over 10 years in the audit and consultancy. He also held the positions of business development and business operation manager with two UK multinational companies based in London for 5 years. Danny specialises in International Financial Reporting Standards (IFRSs) and in the last 15 years he is a partner of a firm providing training and consulting in the areas of preparing and presenting financial statements in accordance with IFRSs.


Danny holds an Honours Degree in Economics (major in finance and investment) from Manchester Metropolitan University (UK), MBA from Heriot-Watt University (UK) and Master in Advance Business Practice from University of South Australia. He is a fellow member of Chartered Instituted of Management Accountants, a fellow member of Association of Chartered Certified Accountants, a member of Malaysian Institute of Accountants and an associate member of Chartered Tax Institute of Malaysia.
 

Upcoming Schedule

Registration is closed

Date & Time

19 Feb 2020 (9:00 AM - 5:00 PM)

Fee (inclusive of GST)

For Members: $ 345.61
For Non-Members: $ 415.16

Programme Facilitator(s)

Danny Tan

Venue

60 Cecil Street
ISCA House
Singapore 049709