Personal cashflow10/16/2023 ![]() Generally, cash flow defined in two types they are cash inflow and cash outflow. Benefits of Cash Flow Statement and Cash EquivalentsĪccording to the dictionary terms, flow means movement and the flow of cash termed as cash flow.Classification of Activities for the Preparations of the Cash Flow Statement.In other words, we can say it as the something which has high liquidating value at a very short-term sale and these include demand deposits, some of the short-term investments, bank overdrafts etc.īrowse more Topics Under Cash Flow Statement Cash is nothing but money which means currency and coins.īut when it comes to Cash Equivalents it something which can be readily converted into known amounts of cash. Let us know what the difference between them and what makes them so different. Many of us had a doubt regarding the difference between cash and cash equivalents.
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