INCOME FLOWS VERSUS CASH FLOWS. The text states, Over sufficiently long time periods,
net income equals cash inflows minus cash outflows, other than cash flows with owners.
Demonstrate the accuracy of this statement in the following scenario: Two friends
1- How do you differentiate between assets and liabilities on the balance sheet?
Assets vs. Liabilities
Accounting standards define an asset as something your company owns that can provide future
economic benefits. Cash, inventory, accounts receivable, la
1-Define the three activities (Operating, Investing and Financing) that are part of firm's cash flow
The cash flows from operating activities section shows how much cash the company generated
from its core business, as opposed to peripheral act