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What is the Importance of Cash Flow in Financial Statements?

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تم إضافة السؤال من قبل kamran khalid , Head Of Finance , Pace College
تاريخ النشر: 2016/10/24
Ashraf Aldalabeeh
من قبل Ashraf Aldalabeeh , Finance Manager , Interactive Values School

I Think The most Element in Cash Flow Is The Surplus Which Com from Operating Activity which You Can 

Show the Operating Activities Results and Who You Can Meet Your Expenses and How You Can Planed to future Wise which can help the continuously of the company 

krishnamoorthy Achutham
من قبل krishnamoorthy Achutham , DY Manager (Accounts) , M/S.DCW Limited,Sahupuram, Arumuganeri

Cashflow statement is prepared to keep the company informed about the requirement of cash for payment to vendors and meet the statuary expenses like salaries,tax etc for cash planning.

Laith Maraiy
من قبل Laith Maraiy , Senior Auditor , Al Jeroudy Accounting & Auditing Chartered Accountants

To find out the solvency of the company 

Mohammad Alkhateeb
من قبل Mohammad Alkhateeb , Accountant , D'ARC

Cash flow is of vital importance to the health of a business. One saying is: “revenue is vanity, cash flow is sanity, but cash is king”. What this means is that whilst it may look better to have large inflows of revenue from sales, the most important focus for a business is cash flow.

 

Faisal Jambi
من قبل Faisal Jambi , Accountant , Ejada united

It shows you the reality picture of company position as a cash basis

, shows you how the company performance looks  

, shows you how is the company liquidity

and shows you how is the company obligation looking

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