Figure · FIG:indirect-method/northstar-bridge

Northstar indirect operating cash-flow bridge

An accessible left to right bridge from $12,000 net income through four signed adjustments to $10,000 operating cash flow.

Updated Aug 6, 2026 Review due Nov 6, 2026
Northstar reconciles $12,000 net income to $10,000 operating cash flow by adding $3,000 depreciation, subtracting $2,000 Receivables and $4,000 Inventory increases, and adding a $1,000 Payables increase.
Detailed visual description

The first dark box is $12,000 net income. Four light adjustment boxes follow: positive $3,000 depreciation, negative $2,000 Receivables, negative $4,000 Inventory, and positive $1,000 Payables. The final dark box is $10,000 operating cash flow. Notes below derive the asset-increase subtraction and liability-increase addition from opening and ending balances and show the $13,000 collections less $3,000 supplier-payments direct cross-check.

Review apparatus

Visual provenance and review

Technique
data bound svg
Role
explanatory
Review state
revised
Rights
CC0-1.0 · Unrestricted teaching, adaptation, testing, and redistribution; generated from fictional project data

Review notes

  • Existing data-bound figure included as the pilot control: values already reconcile to the checked Northstar dataset.
  • Re-render through the shared figure registry and compare with the original bespoke SVG before acceptance.

The bridge presents adjustments in statement order while the two notes below it preserve the account logic. The visual alone is not the calculation record: the adjacent lesson table and long description carry the same amounts, directions, and direct-method cross-check for nonvisual, small-screen, and print use.

The diagram intentionally avoids red/green success cues. Positive and negative signs communicate arithmetic direction, not whether a balance movement is good or bad. The two endpoint boxes use a distinct dark treatment because they are reported subtotals; the four middle boxes are reconciliation adjustments rather than separate cash transactions.