unselected increase in accounts receivable is an example of a cash inflow.
In the cash flow statement's operating activities section, net income is often the first line item. This metric, which gauges a company's profitability, is calculated directly from the net profit displayed in the income statement of the business for the relevant period.
Increasing Current Assets at All (Accounts Receivables, Prepaid Expenses, Inventory etc. taken from the Balance Sheet) Any drop in Current Liabilities that has occurred (Accounts Payable, Accrued Liabilities, Income Tax Payable etc. taken from the Balance Sheet). the operating activities' net cash flow.
Operating Activities Cash Flow Following the balance sheet and income statement in a company's financial statements comes a component of the Statement of Cash Flows called Cash flow from Operating Activities.
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