The cash flow statement shows the inflows and outflows of cash and cash equivalents over a period of time. It includes cash from operating activities like salaries paid and interest received, investing activities like the purchase and sale of fixed assets, and financing activities such as raising capital through loans and paying dividends. The cash flow statement provides important information about where a company's cash is coming from and how it is being used.
22. Operating activities
■ Operating activities are the activities that constitute the
primary or main activities of an enterprise. Cash flows from
operating activities are primarily derived from the main
activities of the enterprise.
23.
24.
25. Investing activity
■ Investing activities are the acquisition and Disposal of long
term assets and other investment not included in cash
equivalent.
26.
27.
28. Financing Activity
■ Financing activities refer to the flow of cash between a
business and its owners and creditors. It focuses on how the
business raises capital and pays back its investors.The
activities include issuing and selling stock, paying cash
dividends and adding loans.
29.
30. Recapitulation
■ Operating, financing and investing activities are included
in _____________
■ Business cannot run without ________.
■ Fixed assets comes understand ________ activity.
■ Financing activity deals with________
