Purchase of computer is investing activity, investing activity included when invests in some other company.
Land purchased is shown under cash flow from investing activities in cash flow statement.
Purchase of fixed asset is shown under cash flows from investing activities as an outflow of cash because purchase of assets is an investing activity and it causes reduction of cash flow.
following is the proforma cash flow statement1 - Cash flow from operating activitiesamount received from debtorspayment made to creditors2 - Cash flow from financing activitiessales purchase of assets3 - Cash flow from investing activitiesissuance of new share capital
Free cash flow equals operating cash flow plus investing cash flow.
following items are included in cash flow statement1 - cash flow from operating activities2 - cash flow from investing activities3 - cash flow from financing activities.
Cash flow statement is the statement which show the cash flow from operating, financing and investing activities.
Cash flows are classified with following three catagories:Cash flow from operating activitiescash flow from investing activitiescash flow from financing activities
Cash flow statement has these three sections which are :Cash flow from operating activitiescash flow from investing activitiescash flow from financing activities
Free cash flow is the sum of operating and investing cash flows, which are reported on the cash flow statement.
investing activities in cash flow statement
A small business cash flow statement shows the money coming in and going out of the business. It includes three main sections: operating activities, investing activities, and financing activities. Here is an example: Operating Activities: Cash received from sales: 10,000 Cash paid for expenses: 5,000 Net cash flow from operating activities: 5,000 Investing Activities: Cash received from sale of equipment: 2,000 Cash paid to purchase new equipment: 3,000 Net cash flow from investing activities: -1,000 Financing Activities: Cash received from a loan: 3,000 Cash paid for loan repayment: 1,000 Net cash flow from financing activities: 2,000 Overall Cash Flow: Beginning cash balance: 5,000 Net cash flow from operating, investing, and financing activities: 6,000 Ending cash balance: 11,000
1 - cash flow from operating activities2 - cash flow from financing activities3 - cash flow from investing activities.