Finance & Accounting
Cash Flow Statement
Statement of cash movements during a period, classified into operating, investing and financing activities.
What it means
Required by AS-3 / Ind AS 7. Three sections: cash from operations (core business), cash from investing (asset purchase/sale), cash from financing (debt, equity, dividends). The cash flow statement reconciles opening cash to closing cash and is often more revealing than the P&L for liquidity-stressed businesses.
How Easedesk handles Cash Flow Statement
Easedesk generates cash flow statements using the indirect method, with automatic classification of journal entries into operating/investing/financing.
Related terms
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