Cash Flow Categories Explained
What are the total Cash Flows from Operations (CFO), from Financing (CFF) and from Investments (CFI) for the year? What do the cash flow patterns tell us about the stage of lifecycle the firm is in?
To determine the total Cash Flows from Operations (CFO), Financing (CFF), and Investments (CFI) for the year, you would typically need to review the company’s statement of cash flows, which is part of its financial statements. These three categories represent the following:
- Cash Flows from Operations (CFO): This section reflects the cash generated or used by the company’s core business operations. It includes cash receipts from sales of goods and services, cash payments to suppliers and employees, and other cash operating activities.
- Cash Flows from Investing Activities (CFI): This section includes cash spent on or received from the purchase or sale of investments, property, plant, and equipment (capital expenditures), and other long-term assets.
- Cash Flows from Financing Activities (CFF): This section details the cash flows between the company and its investors, including debt repayment, dividends paid, and the issuance or repurchase of stock…
To determine the total Cash Flows from Operations (CFO), Financing (CFF), and Investments (CFI) for the year, you would typically need to review the company’s statement of cash flows, which is part of its financial statements. These three categories represent the following:
- Cash Flows from Operations (CFO): This section reflects the cash generated or used by the company’s core business operations. It includes cash receipts from sales of goods and services, cash payments to suppliers and employees, and other cash operating activities.
- Cash Flows from Investing Activities (CFI): This section includes cash spent on or received from the purchase or sale of investments, property, plant, and equipment (capital expenditures), and other long-term assets.
- Cash Flows from Financing Activities (CFF): This section details the cash flows between the company and its investors, including debt repayment, dividends paid, and the issuance or repurchase of stock…
To determine the total Cash Flows from Operations (CFO), Financing (CFF), and Investments (CFI) for the year, you would typically need to review the company’s statement of cash flows, which is part of its financial statements. These three categories represent the following:
- Cash Flows from Operations (CFO): This section reflects the cash generated or used by the company’s Cash Flow Categories Explained
