Question

1. How does the cash flow statement tie together in the income statement and balance sheet?
2. For a manufacturing firm, what are the three inventory accounts? Using Ford Motor Co. as an example, what would be an example of each kind of inventory

the questions have to do with quickbooks

Answer 1

The statement of financial account includes Balance sheet, Profit and loss account and Cash flow statement.

Further statement of cash flow in simple term a statement which shows movement of cash during the year.

For a manufacturing company there are 3 types of Inventory

1) Raw material : In case of ford motors may be battery or steel anything which is assembled into car

2) Work in progress : In our case partly assembled car

3) Finished goods: In our case the car which is ready to be sold.