Entering quarterlies in the cashflow statement
If I am entering the third quarter numbers on the cashflow statement would I add it to the second quarter numbers against the line items or simply enter the third quarter numbers without paying attention to the past quarter. Also the same question on the balance sheet. Are the cashflow and balance sheet numbers cumulative. Thanks.
CFS is for a set period of time, so if you are indicating Q3 data, then you don't need any sort of cumulative total, just simply Q3 numbers. The big difference here is that the CFS is for a perdio of time (beginning of Q3 to end of Q3), while the blanace sheet is a snapshot in time. So if you had 1,000 in cash to start Q3, and your net change in cash from the cashflow statement was +100, your BS Cash balance would be 1,100. So simply stated, yes your balance sheet is cumulative, but don't think of it that way. It's simply a check at any given time, and in this case that time is at the end of Q3.
Makes sense. Thanks for the quick response.
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