Startup Business Accounting - Building Your Cash Flow Statement
Your cash flow statement based on your other statements. All three statements tie into each other. The first section of your cash flow statement is cash flow from operations. Cash flow from operations shows the cash that is coming into or leaving your company based on your operations. The first line of your cash flow from operations should be net income after taxes and interest, but before dividends. The second line should be depreciation which is brought down from your income statement. Following these two lines should be the changes in your assets (aside from property, plant, and equipment), followed by changes in your liabilities from period to period - both of these items come from your balance sheet and can be broken out line-by-line according to how they are shown in your balance sheet. ...
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