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I have two accounting questions that I do not understand can someone please answer them to me in order for me to understand them and compare them with my solutions?
Thanks in advance.
1. Explain the main differences between a direct and an indirect cash flow statement. Include in your answer consideration of the divergence of approach, the ‘section’ of the cash flow statement affected, and the impact on the information available to readers.
2. Utilising the idea of ‘regulatory capture’, investigate and comment on the current membership of i) the UK’s FRC ‘Corporate Reporting Council and ii) the IASB. How ‘balanced’ do you find the backgrounds of the members of these boards? In the case of each board, explain whether or not you think that the standard setting process has been ‘captured’ and, if so, by which group. Earn brownie points for finding out anything particularly interesting about any of the members of either board.
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