There are 2 methods to perform cash flow statement, what are they?

1st Method:

EBITDA ( earning before interest-tax-depreciations and amortization) – change in working capital( including  income tax paid)= Cash flow from operations

Then : - increase CAPEX= free cash flow

=>Free cash flow- dividend paid= net cash flow for the period

2nd method:

Net income + depreciation & provisions+ deffered tax = cash flow from net income

+ Variation working capital (variation payables+ variation receivables +variation stocks+ increase tax debt )= net cash flow from operations

Then :  - increase  CAPEX= Free cash flow.

=>Free cash flow - Dividend = net cash flow for the period.

The direct / indirect method  

The direct method begin with beginning cash balance and added cash receipts then subtract cash disbursements for the selection period , at the end you will reach to cash surplus or deficit.

The indirect method classify it into three categories are ( operating - investing - financing ) 

and start with net income and try to adjust all increase or decrease in balance sheet items that will affect on cash flow, surely according to related categories.