Policy: SEC 10-K Posting: Review the Statement of Cash Flows. Does your company use the Indirect Method? Comment on what you learn from the statement of cash flows for your company. Using the balance sheet and income statement, describe accounts receivable, average collection period in terms of days, and inventory in terms of turnover and days in inventory. Prepare a brief vertical analysis of the balance sheet and income statement. What do you learn about your company’s profitability and assets?