Cash Flow From Assets (CFFA) = Cash Flow to Creditors (CF/CR) + Cash Flow to Stockholders (CF/SH)

The above identity can be traced back to the balance Sheet (why A = L + OE), The Income statement

(having used the assets) and the Stockholders Equity statement (Beginning Equity + Net

Income/Loss Cash Dividend = Ending Equity).

1.Explain the above identity as presented in a Balance Sheet, Income Statement and, Equity Statement.