Definition of Cash Flow Statement format

Definition

Cash flow statement is consisting of financial information about the inflow and outflow of the company’s cash. The statement is comprised of 3 sections: Operating, Investing, Financing.

Explanation of Cash Flow Statement Format

Cash flow statement is a part of the financial statement and it is reviewed heavily by the stakeholders of the company. The indirect method format is commonly used in the cash flow statement of a company instead of direct method format.


 

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