How to prepare statement of cash flows by indirect method?

The Indirect method whereby profit or loss is adjusted for the effects of transaction of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments, and items of income or expenses associated with investing or financing cash flows.

INDIRECT METHOD STATEMENT OF CASH FLOW:

Cash flows from operating activities

Profit before taxation

Adjustments for depreciation

loss on sale of non-current assets

Investment income

interest expenses

decrease/ (increase ) in trade and other receivables 

decrease/ (increase) in investments

(decrease)/ increase in trade payables

cash generated from operations

interest paid 

income taxes paid

net cash from operating activities

Cash flows from investing activities

purchases of property,plant and equipment

proceeds from sale of equipment

interest received

dividends receive

net cash received from/ (used) in financing activities

Cash flows from financing activities

proceeds from issue of shares capitals

proceeds from/ (repayments of) long-term borrowings

payment of finance lease liabilities

dividends paid

net cash paid

net cash received from/ used in financing activities

Net increase / (Decrease) in cash and cash equivalent

cash and cash equivalents at beginning of period

cash and cash equivalents at end of period

 Hope you get the answer which you desire:) 

Cash Flow consist of Inflow & outflow, so the day to day different type of income must be feed on the side of Inflow & all day to day different type of expense on other side, with cumulative bank balance of all available account of operating company.

At last you can get summarize CASH FLOW which states the strength of Company.