COMM 103 Study Guide - Final Guide: Cash Flow Statement, Cash Flow, Income Statement
Document Summary
Less: cost of goods sold (quantity x unit cost) Less: general operating expenses such as wages, administration, rent, utilities, legal, r&d, marketing, etc. Less: corporate income tax (assuming not a loss) Net cash results from income statement and operational activities + net cash impact form investing activities + net cash impact from financing activities = changes to cash position. Summarizes the sources and uses of cash. How a firm used its cash resources during a specific period of time. Provides insight into the current and projected liquidity position of a firm. Often one of the most important financial documents. + net profit (- net loss) income statement. + increase in accounts payable balance sheet. = net cash results from income statement and operating activities. + bond issuance/other debt instruments balance sheet. + sale of property, plant and/or equipment i/s or b/s. Purchase of property, plant and/or equipment i/s or b/s. Construction in progress i/s or b/s.
