Chapter 13
“How Well Am I Doing?”
Statement of Cash Flows
McGraw-Hill /Irwin © The McGraw-Hill Companies, Inc., 2007
, Statement of Cash Flows
Are cash flows Can we meet
sufficient to our obligations
support ongoing to creditors?
operations?
Why is there a
difference
between net
Will the company
income and net
have to borrow
cash flow?
money to make
needed
investments? Can we pay
dividends?
13-2
, Learning Objective
LO1
To classify changes in
noncash balance sheet
accounts as sources or
uses of cash.
13-3
, Definition of Cash
The term cash on the statement of cash
flows refers broadly to both currency
and cash equivalents.
Currency and
Bank Accounts
T-bills
Cash
Money Market Commercial
Funds Paper
13-4
“How Well Am I Doing?”
Statement of Cash Flows
McGraw-Hill /Irwin © The McGraw-Hill Companies, Inc., 2007
, Statement of Cash Flows
Are cash flows Can we meet
sufficient to our obligations
support ongoing to creditors?
operations?
Why is there a
difference
between net
Will the company
income and net
have to borrow
cash flow?
money to make
needed
investments? Can we pay
dividends?
13-2
, Learning Objective
LO1
To classify changes in
noncash balance sheet
accounts as sources or
uses of cash.
13-3
, Definition of Cash
The term cash on the statement of cash
flows refers broadly to both currency
and cash equivalents.
Currency and
Bank Accounts
T-bills
Cash
Money Market Commercial
Funds Paper
13-4
