Cash flow statement

The cash flow statement is an historical record of the cash flows of a business, distinguishing between different categories of cash receipts and payments. Financial Reporting Standard FRS 1 (Cash flow statements) requires most companies to publish a cash flow statement as part of their annual accounts. The purpose of this statement is to reveal to users how cash was generated and then applied by the company during the period under review.


reference: Business Studies / Accounting. Accounts & Finance Glossary. Jim Riley BA(Hons) MBA FCA // tutor2u