In this 2.5 CPE credit course Professor Pratt thoroughly covers the statement of cash flows: its preparation, both the direct and indirect forms of presentation, as well as its analysis, which includes reviewing the key elements of cash flow assessment and the identification and interpretation of the various cash flow profiles.

The course concludes by analyzing real-world statements of cash flows and using these cash flow profiles to assess the cash management strategies of seven different firms at different stages of development experiencing different levels of success: Pinterest, General Electric, Airbnb, Home Depot, Carvana, Lyft, and Blue Apron.

Learning Objectives
  • Explore and prepare a statement of cash flows under both the direct and indirect formats from two balance sheets and an income statement.
  • Identify the key elements of cash flow analysis and how they relate to each other.
  • Identify various cash flow profiles and describe what these profiles mean concerning the firm’s cash management strategy.
  • Recognize and read and thoughtfully analyze the statements of cash flow published by well-known companies from various industries.
Last updated/reviewed: August 11, 2023
7 Reviews (21 ratings)


Anonymous Author
The material presented is great! The method of presentation is quite slow, which is useful sometimes, but annoying when he's not doing the calculations portions. The exam questions from 9 up are extremely difficult to follow, mostly because of the lack of ability to create margins, but his options were limited, and he made the best of it. Overall, a worthwhile course. Lots of good explanation about the indirect method.

Anonymous Author
The course took a significant amount of time to complete. Additionally, I had to take the exam multiple times. I also think I ran into a glitch bc I kept receiving the same grade even with changing answers

Anonymous Author
Took this as a refresher on the statement of cash flows. A lot of material presented and exam was difficult.

Member's Profile
Best course I've had on Illumeo - full of relevant real world examples and applicable knowledge.

Member's Profile
I liked this course because it explained everything in detail with lots of real world examples.

Anonymous Author
Extremely thorough presentation encompassed in the gradual addition of detail to each slide.

Member's Profile
very good course. the examples from the real world were helpful and insightful

Course Complexity: Foundational
No advanced preparation or prerequisites are required for this course.
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 Preparing and Analyzing the Statement of Cash Flows5:25
  Preparing the Statement of Cash Flows27:38
  Closing Process14:22
  Analyzing the Statement of Cash Flows15:46
  Cash Profiles - Part 117:09
  Cash Profiles - Part 215:16
  Preparing and Analyzing the Statement of Cash Flows1:35:36
  Slides: Preparing and Analyzing the Statement of Cash FlowsPDF
  Preparing and Analyzing the Statement of Cash Flows Glossary/IndexPDF