IAS 7

The International Accounting Standard 7 ( IAS 7) is an accounting standard by the International Accounting Standards Board (IASB ) with the German title "Cash Flow Statements ". The objective of this Standard is to provide information about the historical changes in cash and cash equivalents of an enterprise. This information is provided by a statement of cash flows available, which classifies cash flows during the period from

• From operating activities ( operating cash flow),
• Investing activities ( investment- cash flow ) and
• Financing activities (finance cash flow )

Classified.

This results in:

Cash and cash equivalents, also referred to as cash and cash equivalents, consist of cash, bank deposits and securities with a maturity of three months or less.

Cash flow from continuing operations indicates how far the company has been able to provide funds to maintain the business activities, for investment, for loan repayment and dividend payments without access to external funding.

For better information cash flows must be derived from the financial statements. The derivation in the current business cases can be made by either the direct or indirect method.