Trading in securities and loans

IAS 7.14 includes a number of examples of operating cash flows, including cash receipts and payments from contracts held for dealing or trading purposes. IAS 7.15 notes that when an entity holds securities and loans for dealing or trading purposes, those items are similar to inventory acquired specifically for resale. As a result, the cash flows arising from the purchase and sale of dealing or trading securities are classified within operating activities.

Consistent with this approach, IAS 7.16Continue reading