civil status

what are the two cash flow of operating activities

The direct method shows each major class of gross cash receipts and gross cash payment

ABC CO
  Statement of Cash Flow
        For the period ended December 31, 2021
Cash flows from operating activities:
Cash flows from  investing activity:
Cash flow from financing activities:
Net increase in cash
Cash beginning balance
Cash ending balance
double line

The indirect method adjust accrual basis profit or losses for the effects of changes in operating assets liabilities and effect on non cash items

ABC CO
        Statement of Cash Flow
              For the period ended December 31, 2021
   Cash flows from operating activities:
Net income                                                                                       $150 000
Depreciation expense                                                                          50 000
Loss on sale                                                                                         35 000
Gain on sale                                                                                       (20 000)
Increase trade and other receivables                                                   (5 000)
Decrease inventory                                                                             120 000 
Decrease prepaid assets                                                                       60 000
Increase notes payable                                                                          30 000
Decrease accounts payable                                                                  (60 000)
Net cash flow  from operating activities                                                360 000
Double line

3 types activities of cash flow in accounting

Current assets
Currents liabilities
Revenue / sales
Expenses

Non current assets

Non current liability
Equity / Capital

Involves the computation of percentage, fractions or proportions using certain formulas. This analysis is designed to emphasise the meaningful relationships between financial data