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Acaydia School of Aesthetics LLC Statement of Cash Flow Discussion

 

Please respond to beatrice with 100 words

What does the Statement of Cash Flow show?

Cash Flow is a measurement of how much money comes in and out of your business and where it comes from and goes to. When you have positive cash flow you have more cash coming into the business then you have leaving it. You can pay your bills and cover other expenses. In the other hand, when you have negative cash flow, you’re spending more than you’re making, you’ll run out of money making those payments. If you’re not keeping track you can go out of business.