A cash flow statement consists of three sections: operating, investing and financing. Companies report investing and financing activities directly on a cash basis, but often use the indirect method to ...

Start by looking at cash flow from operations, the section that tells you how much money the company’s main business is ...

General accepted accounting principles (GAAP) recommend that businesses use an accrual method of accounting. This means that the income statement reflects expenses and income earned but not yet ...

Just about everyone has heard the phrase "cash is king" in investing. That's true for business finances, too. Cash flow is how businesses pay their employees, buy materials and cover basic expenses.

Learn how Cash Value Added (CVA) measures a company's cash flow exceeding investor returns, and how it compares to EVA and EBITDA in assessing profitability.

While there are many financial metrics to track in business, operating cash flow is among the most crucial. Many entrepreneurs look at these numbers as an indication of how well (or poorly) their ...

Learn how discounted after-tax cash flow helps evaluate real estate investments by factoring in taxes and determining profitability, essential for investment decisions.