What is the cash flow statement❓

For this article, we would like to present our knowledge about the so-called. cash flow statement What is this? Let's leave it together. If you're ready, let's go see it.

🔹 Get to know cash flow statement

The cash flow statement is what is the financial statement that shows cash and cash items. where all cash in and out activities are shown and in cash equivalents. Whereas highly liquid investments have a maturity of three months, they are readily convertible to cash on a known date and without a change in value.

🔹 What are the components of the cash flow statement?

by the statement of cash flows can be classified into 3 activities as follows:

1. Cash flows from operating activities

by cash flow in operating activities It is the cash flow generated by generating income for the business. If the cash flow is cash from operating activities that is positive It's something that can show that you're making money from your business.

2. Cash flow from investing activities

The cash flow that comes from investing activities. It is the cash flow that arises from the acquisition and disposition of assets over a long period of time and investment funds of an entity, usually cash flows from investment activities. that is often negative That means that the activity has been invested more.

3. Cash flow from financing activities

In terms of cash flow from financing activities It is the flow of cash that is generated by the activities that cause changes within the organization.

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