Actual issues of enterprise cash flow reporting

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Ivane Javakhishvili Tbilisi State University Press
The purpose of this article is to examine cash flow reporting indicators, quantitative relationships with other components of financial reporting, and identify trends in key money ratios for the example of analytical enterprises. Based on cash flow reporting information, it is possible to assess whether an enterprise has sufficient cash resources to meet its liabilities. Structural, coefficient and the comparative analysis methods of reporting are used for this purpose. The article examines the cash flow reporting structure and the key ratios of cash asset utilization efficiency for the three enterprises studies and makes appropriate conclusions. The study found that some companies use an indirect method of cash flow reporting, which makes their analysis imperfect. The basic method of preparing cash flows in accordance with International Financial Reporting Standards is a direct method because it is important in the analysis of cash flows. In addition, there are sometimes no internal quantitative-economic relationships between the financial reporting components of enterprises. We believe it is necessary for accounting departments, together with management, to prepare financial reporting information based on real financial-economic relationships, without any faults.
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financial statements, cash flows, money ratios
The 4th International Scientific Conference: "Challenges of Globalization in Economics and Business", Tbilisi, 2019, pp. 473-478