| Abstract: | The Statement of Changes in Financial Position (SCFP) is an important financial statement for external users. From a teaching point of view, however, the development of the SCFP has not been understood clearly by many accounting students.In order to properly understand the SCFP using either the working capital basis or cash basis, students need a framework for analyzing the impact of various transactions on the Statement. This article provides the accounting instructor with an alternate method for teaching the relationship between any transaction and the SCFP. |
