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I seek to identify whether cash flow management can affect the performance and risk of the Greek listed companies.

This study examines the relationship of cash flow management with performance and risk, using a sample of 80 non-financial companies listed in the Athens Exchange. The study covers the period 2018–2022, and panel data analysis is applied. Both financial performance and stock return are taken into consideration, while risk concerns the volatility of the companies’ share prices. The various explanatory variables used include the net cash flow, free cash flow, cash conversion cycle days, cash flow from operating activities, cash flow from investing activities, cash flow from financing activities, inventory days, customer days and supplier days.

The empirical results provide evidence of a positive relationship between financial performance and net cash flow and free cash flow. In addition, operating cash flow is positively related to financial performance. The opposite is the case for investing and financing cash flow. Finally, some evidence of a negative relationship between financial performance and inventory and customer days is provided too. On the other hand, stock return and risk are not related to the cash flow management variables at all.

To the best of my knowledge, this is one of the few studies to examine the relationship of cash flow management with performance and risk, using data from the Greek stock market. The results can form an effective selection tool for investors seeking Greek companies with the highest financial performance potential, which may reward them with higher dividends.

This study aims to examine the incremental valuation implication of excess realized tax benefit under Statement of Financial Accounting Standard (SFAS) No. 123R: share‐based payment (123R excess tax benefit), which is required to be reported as a component of financing cash flows by the publicly traded corporations.

The sample comprises of Standard and Poor's (S&P); large‐, mid‐ and small‐cap firms who adopted SFAS No. 123(R) on January 1, 2006. The study covers a time period of the first and second quarters of 2006.

The multivariate regression analyses indicate that the capital market evaluates the SFAS 123R excess tax benefit in presence of accruals, and operating, investing and other financing cash‐flow components at different rates in pricing equity securities.

The primary results, however, are mostly restricted to large‐ and mid‐cap S&P firms. No incremental valuation consequence of SFAS 123R excess tax benefits for small‐cap S&P firms is observed.

The findings suggest that the 123R excess tax benefit reported as a financing cash‐flow component is incrementally informative in equity valuation but the timing and extent of its market valuation is impacted by firm size, its visibility and information environment, and the magnitude of the excess realized tax benefit in dollar terms.

A relatively simple way to analyse a company’s financial status is to examine the positive or negative signs of its cash flow patterns and to link certain characteristics to selected cash flow patterns. In this article, the frequencies of cash flow patterns in South African listed industrial companies are examined for a single financial period, as well as for three different cumulative periods, ending in 1993, 1996 and 2002 respectively. Mature companies, i.e. those with positive cash flow from operating activities, negative cash flow from investing activities and negative cash flow from financing activities, were identified as the most frequently occurring pattern during the selected periods. The study shows that the mature companies had the highest median amongst the more regular cash flow patterns, for the net profit percentage, for the cash flow from operating activities before the payment of dividends as a percentage of sales and for dividend payout. The study also reveals that companies in their growth phase had the highest medians for investment outflow, for sales growth and growth in total assets, for accounts payable and inventories. Start‐up companies had the highest medians for inflow from financing activities and for total debt to total assets.

This paper reports results of a survey that examines user perceptions of alternate formats of the Statement of Cash Flows (SCF) mandated by the Governmental Accounting Standards Board (GASB) and the Financial Accounting Standards Board (FASB). The formats were compared using seven reporting issues. The findings indicate that users found the GASB SCF model to be superior to the FASB model for all issues. The study has implications for both standard-setting bodies. The GASB has already considered the results in developing a new reporting model for governmental entities. The FASB may at some point want to reconsider its SCF reporting requirements.

This paper reports an attempt to design a free cash flow version of the cash flow statement. In specific, the paper relates the comprehensive income concept to the definition of free cash flows and shows how free cash flows and residual income can be calculated from the cash flow statement.

This paper exhibits how this different version of the cash flow statement can be reported by illustrating the differences with the form of the statement required by the regulatory accounting bodies.

This paper shows that the cash flows resulting from operating and investing activities are exactly equal to the cash flows received by debt and equity holders (financing activities) by using a simple definition of a company's free cash flow.

The method used requires a different version of a cash flow statement in which all financing related cash flows, such as interest expense is not included in the cash flow from operating activities. This version of the cash flow statement can be used in order to evaluate and appreciate financial policy formulation.

The paper provides to the shareholders and all the parties who are interested in firm and its operation (managers, lenders etc) with information about the company's ability to distribute dividends, to issue new debt and in general the company's ability to meet its obligations.

This paper provides empirical support for the introduction of cash flow disclosure regulation issued by Australasian accounting bodies, AASB and NZICA (formerly NZSA), between 1987 and 1992.

The empirical analysis uses a long window event study format on a panel of 5,368 firm‐year observations between 1996 and 2005.

The cash flow disclosures required in the regulation are associated with significant abnormal return responses. These effects are robust to the inclusion of other factors linked to abnormal returns such as movements in profitability, size and leverage. We also find support for the proposition that the cash flow effects are conditioned on the quality of the firm, as proxied by q. The market is better and more easily informed with the information required under the revised reporting regime.

The analysis would have been improved with better access to pre‐reform period data.

There is no other study on Australasian markets which looks at the value impacts of cash flow information in relation to this regulatory change. Such a study has also never been done on New Zealand companies.

Proposed projects whose financing will cause capital structure to change across time cannot be accurately evaluated by the ordinary Weighted Average Cost of Capital‐Net Present Value technique. The required rate of return on a new project depends on the firm’s capital structure through the effect of capital structure on the required rates of debt and equity suppliers. But the capital structure depends on these required rates, which are themselves functions of capital structure. There is no general analytical solution to this circularity, so the ordinary weighted average cost of capital cannot capture the effects of changing capital structure on the cost of capital, and the computed NPV is not correct: the wealth of the shareholders will change by a different amount, and may have a different sign as well.

In this article, modifications are suggested for the current format of the cash flow statement, which is prescribed by AC 118, in order to address ambiguities and improve comparability. This redefinition of activities, together with the alteration of the layout, leads to a better explanation of the cash‐generating function of an enterprise. The authors argue that the separation of the cash flow for the maintenance of the existing resource base and the cash flow for the expansion thereof, is essential information in a model for the prediction of the future cash flow generation of a company. The resultant increase in the accessibility, reliability and utility of cash flow reporting should enhance users’ economic decision making and liberalise financial information. The modifications proposed in the article can therefore assist standard setters to improve financial reporting.

This instructional tool enhances coverage of statement of cash flows topics in graduate or upper division undergraduate accounting and finance courses.

We review one of the complexities of preparing the statement of cash flows. The exercise may include a discussion of the mechanics of preparation of the statement of cash flows using the indirect method. This discussion might include rationales behind operating section adjustments and highlight the pitfalls of using these adjustments without understanding their reasons. Preparation of a statement of cash flows may be followed by introducing the concept of nonarticulation and how it can cause the information presented in the statement to be misleading. To further understanding, the instructor may introduce the reconciliation worksheet provided. Finally, a current public company example, also provided, highlights the magnitude of nonarticulation in practice.

Students learn the complexities related to the preparation of the statement of cash flows. They are introduced to the concept of nonarticulation using an example of public company financial statements. Student feedback suggests appreciation for developing a deeper understanding of the statement of cash flows, learning why they are unable to replicate disclosed operating cash flow from balance sheets of publicly traded companies.

This study investigates overtrading, which is the result of an expansion rate that is too high in relation to a particular business’s structure. It often results in cash flow problems. The phenomenon of overtrading is described in a case study on Profurn. In this study, a ratio was developed that can be used to identify companies in an overtrading position. Selected variables were tested by means of the Kruskal Wallis test in order to pinpoint variables that can discriminate successfully between companies that are overtrading and ones that are not. Overtrading occurred in 15.5% of the company years of listed South African companies between September 1989 and December 2005. Of the 35 variables tested, 31 were found to be able to discriminate statistically between company years in which overtrading occurred as opposed to ones in which it did not occur. These variables can therefore be used to profile companies that overtrade.