Cash Flow Statement Setup

The Cash Flow Statement reports cash flows on a cash basis, and focuses on liquidity. The net cash flow from one period to the next on the report should equal the change in cash between the two balance sheets that cover the same period.

Many of the items on the Cash Flow Statement also display on the income statement or the balance sheet. In the Cash Flow Statement, they are arranged to highlight the cash generated during the period and to show how it relates to reported earnings.

If your firm uses multiple companies, set up the Cash Flow Statement by company.