Course · Act II: The Three Statements · Chapter 8
How to read a cash flow statement
The three sections of the cash flow statement (operating, investing, financing) and why operating cash flow is often the first number analysts check.
Key terms
- Cash flow statement
- Cash in and out over a period, split into operating, investing and financing.
- Operating cash flow
- Cash generated by running the business. Often written CFO.
“The Cash Flow Statement” is part of the full course: 4 puzzles on how to read a cash flow statement, with a story that carries through all five acts. Try this act’s free chapter, “The Income Statement”, first.