Cash Flow Statement

Ross Roll, Trent Eoias, Chance Deaton

What does a Cash Flow Statement do and where does it come from?

  • It records the company's cash inflows and cash outflows over a defined period of time
  • Usually derived from the income statement and balance sheet

What does it show?

  • This financial statement shows where the company's cash originated
  • How the company used its cash
  • And if the company has enough cash to return its loans and continue to operate.
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Sections of The Cash Flow Statement

  1. Operating Cash Flow
  2. Investing Cash Flow
  3. Financing Cash Flow

How does a Cash Flow Statement work?

It follows the cash basis where only actual cash inflows and outflows are recorded.