12. Acc 101 Cashflow Statement
May 01, 2026 03:18
· 6:34
· English
· Whisper Turbo
· 1 speakers
ບົດບັນທຶກນີ້ຈະໝົດອາຍຸໃນ 17 ມື້
ປັບປຸງໃຫ້ເປັນບ່ອນເກັບທີ່ບໍ່ປ່ຽນແປງ →
ສະແດງແຕ່
0:12
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
accountants prepare three different financial statements or financial report cards the report card that is most frequently omitted from the financial statements provided to business owners is the cash flow statement however this is actually the most important report card that you can receive the reason is simple
0:34
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
You can't spend your earnings. You can't spend your profits. You can only spend cash. Earnings and profits are a theory. Cash is a fact. The only way to go broke is to run out of cash. So tracking cash and figuring out where it comes from and where it goes is vital. It's critical to business success and sustainability.
0:59
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Since I already know most business owners don't receive a cash flow statement from their accountants, I designed CFO School Board to automatically calculate your cash flow statement even though you didn't provide it to us as part of the upload of your financial statements when you were setting up CFO School Board.
1:19
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
CFO School Board uses your balance sheets and income statements to calculate the cash flow statement and report your cash flow results to you as part of your optics. A cash flow statement starts with beginning cash, which is the amount of cash the business had on its balance sheet at the beginning of the month or the quarter or the year.
1:44
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
and then records the amount of cash either generated or used in each of three cash flow categories during that month or quarter or year. If you add the beginning cash to the various sources and uses of cash during that time period, you will see the ending cash at the end of that time period.
2:07
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Cash can come from three different sources and be used for different things. You'll notice there are three broad categories of cash flow. The first is operating cash, which can be generated by selling a product or service to a customer and collecting some cash at the time of sale or
2:29
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Operating cash can be generated by collecting some of the accounts receivable owed to the business from prior sales. Operating cash can be used or spent to pay the bills like rent or meet the payroll or pay the light bill. Operating cash can also be used to pay off some lingering accounts payable. The second type of cash flow is investing cash.
2:57
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
which can be generated from selling a property, plant, and equipment asset, like a car or a computer or a piece of machinery. Investing cash can be used or spent if a business buys a property, plant, and equipment asset, like a car or a computer or a piece of machinery.
3:20
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Finally, there is financing cash, which can be generated by borrowing money from the bank or by raising money from investors. Financing cash can also be spent or used by repaying money to the bank or paying a dividend to the investors. Knowing exactly where your cash is coming from is critical to business optics and to making better business decisions.
3:48
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
If you have $250,000 of cash in your bank account, it's crucial to know that where that cash was produced, whether it was produced by the operations of the business or because you sold a piece of real estate or as a result of borrowing that money from the bank. The statement of cash flow is like a movie. It's not a snapshot.
4:11
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
And therefore, like the income statement, the statement of cash flow will cover a certain period of time, like a quarter, a month, or a year. If we start the time period with some beginning cash and then add and subtract the amounts of operating cash, investing cash, and financing cash that was either generated or used during this time period, we'll end up with ending cash.
4:39
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Let me make one final point. Not all cash is created equal. There's one type of cash that's way more important than the other two. In fact, this specific type of cash is the whole reason that you're in business. Without this type of cash, your business will ultimately fail. Can you guess which one is the most important? If you said operating cash, you're right.
5:08
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
Think about it. You need cash to operate. You want your business operations to produce cash flow. If you run short of cash, you only have three choices. Dip into your savings, sell some of your property, plant, and equipment, and this is called generating investing cash, or borrow some more money from the bank or raise some more money from your rich friends. This is called financing cash. So here's the key.
5:37
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
There is a limit to your amount of savings. There's also a limit to the amount of your things and stuff that you can sell. And there's a limit on how much money you can borrow or raise from investors. Without operating cash flow, you will eventually run out of money.
5:55
S…
Speaker 1 (12. Acc 101 Cashflow Statement)
CFO scoreboard will always be measuring how productively management is converting its profits, which are a theory, into operating cash flow, which is a fact. Operating cash flow is the mother load. The most important number for you to measure because without it, your business will go broke.
This transcript was generated by AI (automatic speech recognition). May contain errors — verify against the original audio for critical use. AI policy
ສັງລວມ
ກົດປຸ່ມສັງລວມ ເພື່ອສ້າງບົດສັງລວມ AI ຂອງບົດບັນທຶກນີ້.
ກຳລັງສັງລວມ...
ຖາມ AI ກ່ຽວກັບການແປນີ້
ຖາມທຸກຢ່າງກ່ຽວກັບບົດບັນທຶກນີ້ - AI ຈະຊອກຫາສ່ວນທີ່ກ່ຽວຂ້ອງແລະຕອບ.