The two methods of calculating cash flow are the direct method and the indirect method. How the Cash Flow Statement Is Used ...

The indirect cash flow method starts with the business' net income and makes a series of adjustments. It's important to realize that the method you use will produce the same end result for ...

The profit or loss on the income statement is then used to calculate cash flow from operations. This is referred to as the indirect method. Another technique, called the direct method, can also be ...