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cash flow

cash flow

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Published by VIKAS DOGRA

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Categories:Types, Business/Law
Published by: VIKAS DOGRA on May 16, 2010
Copyright:Attribution Non-commercial

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02/29/2012

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Cash-Flow Analysis,Cash-Flow Analysis,Cash-Flow Analysis,Cash-Flow Analysis,
 © Pearson Education Limited 2004Fundamentals of Financial Management, 12/eCreated by: Gregory A. Kuhlemeyer, Ph.D.Carroll College, Waukesha, WI
 
Statement of Cash Flows:
x
The connection between two successivebalance sheets & the statement of cashflows can be shown :
a. Assets = Liabilities
+
Owners’ equity
.Cash
+
Noncash assets = Liabilities
+
Owners’ equCash = Liabilities
Noncash assets
+
Owners’ equ
Cash =
Liab
 
Noncash assets
+
 
Owners’ eq
 
.aemen o asFlows:
 
Cash =
Liab
 
Noncash assets
+
 
Owners’ eq
 Thecash flow statementsimultaneouslyprovides an
explanation
of why a firm’s cashposition has changedbetweensuccessivebalance sheet datesand
explains
 changesthathave taken place in the firm’snoncash asset,liability, and stockholders’ equity accountsoverthe same time period.

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