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Cash Flow by Quarter and Payment Schedule Form

Cash Flow by Quarter and Payment Schedule Form

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Hey there I'm James you're watching Accounting Stuff and in this video we'll go over the Cash Flow Statement for beginners a Cash Flow Statement is a financial statement that summarizes a business's cash inflows and outflows over a period of time we'll get into how that works in a moment but first why do we need a Cash Flow Statement? in accounting there are two main methods for preparing your books the cash method and the accrual method with the cash method you recognize your revenue when cash is received and you record your expenses when cash is paid out but under the accrual method you recognize revenue as it's earned and record your expenses as they are incurred so what does that mean? if you're cash accounting then technically you only have one financial statement the Income Statement it summarizes your revenues and expenses over a period of time leaving you with a profit or a loss but with the cash method we said that you recognize revenue when cash is received and you re

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