Financial Statement
quadidra250 words
Using the same company (Bank of America) that you have using in previous weeks, please review its cashflow sheet The statement of cash flows is divided into three parts: (1) operational cash flows, (2) financing cash flows, and (3) investment cash flows. Discuss the primary components of each of these sections of the cash flow statement:
- Operational cash flows: Use the direct method, which focuses on the sources of cash and the uses of operating cash such as cash from customers minus cash payment for expenses and payments to creditors.
- Financing cash flows: This should include cash received as the owner’s investment and cash withdrawals by owners.
- Investing cash flows: These include cash from investing activities (in other companies or securities) and any cash paid to make these investments.
12 years ago
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