Predicting future cash flows is important to determine the viability and value of a company.

1) Describe the different components of the cash flow statement and the information it provides to users.

2) Explain the relation between the following accruals and future cash flow as suggested by

a) Accounts receivable

b) Accounts payable

c) Inventory

d) Depreciation and amortization

Answer rating: 100% (QA)

1 Cash Flow statement is one of the major financial statements which provides the details of cash generated and used during a specific accounting peri... View the full answer