Build the Cash Story From the Statements
Construct a statement-linked cash explanation that separates operating, investing, and financing movements.
EBITDA is up $4.6M, but ending cash is down $2.1M. The board needs to know why. Statement-linked cash bridge: start with performance, then separate operating, investing, and financing cash effects. The common trap is saying "timing" for every cash movement. That hides whether cash was consumed by operations, invested for growth, or changed by financing choices. Anchor performance Start with EBITDA up $4.6M, but state that EBITDA is not cash. This respects the performance statement while preparing readers for cash-flow differences. Operating cash Receivables increased by $3.0M and payables increased by $1.2M, so working capital used net $1.8M. Operating classification…
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