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The Statement of Cash Flows

The Statement of Cash Flows

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The Statement of Cash Flows is a financial report that shows how much cash a company has received and spent over a certain period. It breaks down cash movements into three main parts: operating activities (day-to-day business operations), investing activities (buying or selling assets like equipment), and financing activities (borrowing money or paying back loans). This statement helps to see where the company's cash comes from and how it is used, giving a clear picture of its cash health.

 

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