negative FCF = profit?

Kimz92Kimz92
in CIA.IFRS17-LRC

Hi, I'm kinda confused about the example under section 7. My understand is that FCF is the cash inflow-cash outflow with adjustment for present value with ra. section 4.8: FCF = future cash inflow-outflow+ discounting - RA. Could you please explain it more?

Comments

  • Staff-T1Staff-T1

    It's the same thing they just flipped the signs. You just need to be consistent whether you want it to be inflow - outflow or outflow - inflow. The former is more common and preferred

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