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The purpose of the cash flow statement or statement of cash flows is to provide information about a company's gross receipts and gross payments for a specified period of time.
Loading the player... A: The cash flow statement, or statement of cash flows, measures the sources of a company's cash and its uses of cash over a specific time period. The income statement, or statement of financial performance, measures a company's financial performance, such as revenues, expenses, profits or losses over a specific time period. A cash flow statement shows exactly how much money a company has received and how much it has spent, traditionally over a period of one month.