(A) Cash Flow Info & Decision Making: “Cash is King”

(B) Statement of Cash Flows

 Statement of Cash Flow for the period 1/1/xx to 1/1/xx+1
 Cash flow from operations (CFO)      +/-  x x
 Cash flow from investing (CFI)       +/-  y y
 Cash flow from financing (CFF)       +/-  z z
 Equals change in cash account      = change of cash balance
 + Beginning of period cash         + Beginning cash
 = Ending cash balance              = Ending cash

  1. non-cash items
  2. depreciation
  3. deferred tax
  4. interest amortization
  5. accrual items, such as wages payable