ECCB Micro-Business Simulation Workshop Presentations

The Cash flow Statement: Components of the Cashflow Statement THREE KEY FINANCIAL STATEMENTS

Cash flows from OPERATING ACTIVITIES. This includes the cash inflows and outflows related to the core operations of the business . (e.g. revenues, operating expenses, Receipts from customers and payments to suppliers).

Operating

• The cash flow

statement provides a clear picture of how cash moves through a business. • It helps owners and stakeholders understand the sources and uses of cash. • It is a crucial tool for assessing a company's liquidity, solvency, and ability

Cash flows from FINANCING ACTIVITIES. This includes activities such as obtaining loans, repaying loans, issuing or repurchasing stocks, and paying dividends . (e.g. issuing shares, raising debt, Issuing shares, Paying dividends, Issuing bonds, Loan repayments).

Financing

Cash flows from INVESTING ACTIVITIES. It includes the purchase and sale of long-term assets such as property, equipment, or investments. (e.g. sale/purchase of assets, sale and purchase of property, plant and equipment buying and selling investments).

Investing

to meet its short term obligations.