Statement of Cash Flows. Third required financial statement. Does not affect the way transactions are recorded (i.e., information for statement is derived from data reported in other financial statements). Income Statement vs. Statement of Cash Flows. Income statement.
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Cash flow from operating activities
+ Cash flow from investing activities
+ Cash flow from financing activities
= Increase (decrease) in cash and cash equivalents
+ Cash and cash equivalents at beginning of year
= Cash and cash equivalents at end of year