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Indirect Cash Flow
Understand the Indirect Cashflow method
When to use
When constructing a basic Financial Model
- This section will look at the Indirect Cashflow method
- The items shown in the picture below will need to be included to find the Net Operating Cashflow
- The NPAT and the items in the ‘Addback’ section are from the Income Statement
- The Movements in Working Capital are added from the Calculations tab
- The items in the ‘Deduct’ section are taken from the Cashflow statement
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