This course walks the participant through the two versions of a typical Not-For-Profit (NFP) Cash Flow Statement. In addition to learning about the Direct and Indirect methods of preparing the operating section of the cash flow statement.

We also discuss the latest Accounting Standards Update (ASU) to affect NFP cash flow statement preparation ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issues Task Force). Lastly, we present and discuss sample statements along with a discussion of additional reporting and disclosure requirements.

Learning Objectives
  • Recognize what accountants are required to include in Not-For-Profit (NFP) Cash Flow Statements prepared by the indirect or direct method
  • Identify the differences between the indirect method and direct method of preparing the Cash Flow Statement
  • Identify how NFPs should treat donor-restricted gifts that are directed for use in long-lived assets of the NFP
Last updated/reviewed: May 27, 2022
8 Reviews (36 ratings)


Anonymous Author
Довольно сложно усваивать эту тему без примеров на слух. Очень понравились вопли птиц на заднем плане. Складывалось ощущение, что я в зоопарке

Anonymous Author
It was interesting to see how cash flow statements for NFP differs from for-profit entities. This course was easy to understand and appropriate for someone who doesn't have a background in NFP.

Anonymous Author
Nice overview of the components of a cash flow statement for NFPs. The instructor clearly communicated important things for NFPs to consider when preparing a statement of cash flows.

Anonymous Author
Excellent course! I've been in nonprofit accounting/auditing for 20 years. I enrolled in this course strictly for the credits but did learn a few things.

Anonymous Author
Great course. Very easy to follow and the professor seemed very knowledgeable and engaged about the topic at hand.

Anonymous Author
Great overview of NFP statement of cash flows with examples and tips provided throughout.

Anonymous Author
this was a good practical course to take if you are new to NFP accounting

Member's Profile
Another excellent course by Adam I continue to enjoy his completeness.

Course Complexity: Foundational

No advanced preparation or prerequisites are required for this course, but completion of the other courses in this series is recommended.

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
Course Syllabus
  Introduction to NFP Cash Flow Statements3:08
  Purpose of Statement of Cash Flows5:23
  Statement of Cash Flows3:21
  Direct Method8:23
  Indirect Method3:30
  Restricted Cash9:03
  Cash Flow Statement Preparation Tips8:57
  NFP Cash Flow Statements43:22
  Slides: NFP Cash Flow StatementsPDF
  NFP Cash Flow Statements Glossary/IndexPDF
  Review Quizquiz
 Final Examexam