Evaluating a Statement of Cash Flows

Author: External Author | Jul 07, 2021 | Categories: Accounting Firm , Accounting Outsourcing , Accounts Receivable , Advisory Services , Back Office Services , Business Tax Preparation , Cash Flow Financial Planning , Consulting Services , Financial Reporting Services , Mergers and Acquisitions Advisory , Payroll Processing Services , QuickBooks Accountant , Small Business Tax Services

When it comes to financial statement analysis, many people tend to focus their attention on a company's income statement when determining whether a firm is profitable or financially healthy. However, it is important to remember that a cash flow statement offers quite a bit of insight into a company's financial health. If you are familiar with the basic structure of a statement of cash flows, then try to use some of these cash flow metrics the next time you find yourself sizing up a company's financial statements.

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Original Article Source Credits: Investopedia, https://www.investopedia.com

Article Written By: STAFF AUTHOR

Original Article Posted on: Mar 26, 2021

Link to Original Article: https://www.investopedia.com/financial-edge/1012/evaluating-a-statement-of-cash-flows.aspx