Jump to content

BRK accounting question. Apparent discrepancy on CF statement


TREVNI
 Share

Recommended Posts

Hoping someone can help reconcile this for me. The acquisition of treasury stock on the CF statement is $4,850 but is listed as $5,016 on the statement of changes in SH equity. I can't seem to reconcile the two. The figure for 2018 reconciles perfectly. Where's the $166 million difference? Thanks!

 

CF_stmt_p._k-70.JPG.0f3f6b5952bdae5c20768a3a439250a8.JPG

SH_equity.JPG.9eeffd41bcdcd0ae801839d6f8835e48.JPG

Link to comment
Share on other sites

^I would say it's likely to be an accrual issue at the end of periods.

The change in treasury stock reported on the balance sheet and equity sections reflects the transaction dates and the cash flow reported reflects the settlement (T+2) dates. So, there may exist a temporary difference for some transactions made near period ends. In the end, it will tend to even out. i assume 2018 transactions did not occur near period ends.

Link to comment
Share on other sites

^I would say it's likely to be an accrual issue at the end of periods.

The change in treasury stock reported on the balance sheet and equity sections reflects the transaction dates and the cash flow reported reflects the settlement (T+2) dates. So, there may exist a temporary difference for some transactions made near period ends. In the end, it will tend to even out. i assume 2018 transactions did not occur near period ends.

 

Thank you Cigarbutt! I just learned something new about accounting. When I look at the 1Q2020 report the CF statement is higher by the same $166MM. Really appreciate it, thanks!

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...