Bank Overdraft under IFRS vs. US GAAP

[yywjl75d]

Bank Overdraft under IFRS vs. US GAAP

Date: February 29, 2008 09:19PM


here's a snapshot from CFAi book,
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Bank Overdraft under
U.S. GAAP / IFRS

CFI / Considered part of cash and cash equivalents
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what's meaning of "Considered part of cash "?

[broker]

Date: February 29, 2008 09:39PM


It means that IFRS is more flexible than GAAP and bank overdrafts are considered part of cash and cash equivalents and are not reported separately (under GAAP overdrafts are considered part of cash flow from financing activities).