Company Finance

The Essence of Cash Flow Statement and its Features

The Essence of Cash Flow Statement and its Features

A lot of public companies operate on accrual accounting such that their income statements cannot be effectively used in ascertaining their cash positions. However, investors need to know the cash position of any company they want to make investment in so as to ensure that they are investing into the right ground. This is where cash flow statement comes in. Cash flow statement is a quarterly financial report which a public traded company is required to release to the public or to the SEC.  (more…)