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Question
The [...] to report operating cash flows discloses more information about a company.
Answer
direct method

This is why most companies choose the indirect method

Question
The [...] to report operating cash flows discloses more information about a company.
Answer
?

Question
The [...] to report operating cash flows discloses more information about a company.
Answer
direct method

This is why most companies choose the indirect method
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Subject 2. Preparing the Cash Flow Statement
m operating activities. Both methods produce the same net figure (dollar amount of operating cash flow). Under IFRS and U.S. GAAP, both the direct and indirect methods are acceptable for financial reporting purposes. However, <span>the direct method discloses more information about a company. Partly because companies want to limit information disclosed, the indirect method is more commonly used. The reporting of investing and financing activities is the same

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