Types of Cash Flow
Cash flow from investing activities is an item on the cash flow statement that reports the aggregate change in a company's cash position resulting from investment gains or losses and changes resulting from amounts spent on investments in capital assets, such as plant and equipment.
Cash flow from operating activities (CFO) is an accounting item that indicates the amount of money a company brings in from ongoing, regular business activities, such as manufacturing and selling goods or providing a service.
The cash flow statement has three sections - cash flow from operating (CFO), cash flow from investing (CFI), and cash flow from financing activities (CFF). Cash flow from operating activities indicates the amount of cash that a company brings in from its regular business activities or operations.
Cash flow from investing activities is an item on the cash flow statement that reports the aggregate change in a company's cash position resulting from investment gains or losses and changes resulting from amounts spent on investments in capital assets, such as plant and equipment.
Cash flow from operating activities (CFO) is an accounting item that indicates the amount of money a company brings in from ongoing, regular business activities, such as manufacturing and selling goods or providing a service.
Items in a company's cash flow from investing activities include the purchase or sale of assets, the purchase or sale of investment products, and the lending of money or collection of loans. It's entirely possible and not uncommon for a growing company to have a negative cash flow from investing activities.
Cash is increased by 4,200, Accumulated Depreciation is an increase for the amount of 12,000 because we must take the depreciation associated with the truck out, Loss on Sale of Truck is a decrease of 8,800, and the Truck account is a decrease of 25,000 to take it off of the books.
Supplemental Cash Flow Elements : text: Cash Flow, Operating Capital : text: Tabular disclosure of the net increase (decrease) in operating capital in the operating section of the statement of cash flows, represents the entire footnote disclosure that provides details regarding the net change during the reporting period of all assets and liabilities used in operating activities.