Cash flows from investing and financing activities. Cash inflows from financing activities include receipts of resources that are donor-restricted for long-term purposes. Accordingly, cash donor-restricted to (a) acquiring, constructing, or improving long-lived assets (e.g., a building or equipment) or (b) establishing or increasing a donor-restricted endowment fund is a cash inflow from a financing activity. Moreover, it is also reported as a cash outflow from an investing activity. Receipts of investment income (cash interest and dividends) that are donor-restricted for such purposes also are financing cash inflows.

The CPA Financial Accounting and Reporting (FAR) section covers US GAAP, IFRS, and governmental accounting, focusing on financial statement preparation, balance sheet accounts, and complex transactions.

Key concepts include revenue recognition (ASC 606), leases (ASC 842), business combinations, bonds, inventory, and governmental accounting, with a 50/50 mix of MCQs and simulations.