cash flow statement

Cash flow statement

Is finical document that shows how cash (money) moves in and out of a business over a period of time

Why does a company need a flow of money into business?

To exist

Business failure

An insufficient cash flow is one of the cause of

What does cash flow show?

• cash coming in / money from sales,investments,or loans

• Cash going out / money spent on bill,supplies,salaries etc

Which of the following is one source of cash that flow into business

Payroll and benefits

Payroll

Is the money a business pays its employees and they system used to pay them

Which of the following is probably the most important piece of information that a cash flow statement provides?

Amount of money expected

What type of money is recorded in the cash receipts column of a cash flow statement?

Collected

What do businesses often need to do continue operating if they experience negative cash flow

Borrow funds

What do businesses do with the money they have accumulated as a result of periods of positive cash flow ?

Reinvest in business

Accounting

is the process of recording, organizing, and reporting money in a business. 📊💰