i want you to answer these questions individually,

Types of Financial Statements #3: Cash Flow Statement Types of Financial Statements Cash Flow Statement Formula Similar to a bank statement or checkbook register Shows cash receipts and disbursements over time Cash Inflows Debit expense, credit- income, balance - difference between the two Added to Cash Outflows Inflows are: personal income, investment earnings, gifts, loans Equals Outflows are: expenses, investments, donations +/- Current Balance Priority in financial goals: first to insure the payment of current liabilities and necessities; then reducing debt; and finally for purchases and investments 13 14 Types of Financial Statements #4: Budget (pro forma) Cash Flow Cash In Operations (personal and professional earned income) Borrowing (loans) Savings & investments (passive or investment income) Gifts Estimate of fiuture spending Estimate offuture income Based on historical patterns Helps to define income and spending goals Every student should know their personal budget numbers - Cash Out Pay bills Pay loans Pay taxes Personal living expenses Investing How much does it cost you to live each month? Cash In must meet or exceed Cash Out (in financial health) Non-payment Bounced checks