Cash flow statement analysis and earnings quality

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Describe the components of the statement of cash flows and classify cash flows as operating, investing, or financing under IFRS and US GAAP.
Compare the direct and indirect methods for presenting operating cash flow and explain the reconciliation from net income to cash flow from operations.
Calculate and interpret free cash flow and other cash-based measures used in evaluating operating performance and financial flexibility.

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Evaluate how classification choices, non-cash items, and working capital changes affect cash flow analysis and comparability.

Interpret common cash flow patterns over a firm’s life cycle and assess whether reported cash generation appears sustainable.

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