Financial Modeling Quick Lessons: Cash Flow Statement (Part 1) [UPDATED]

Learn the building blocks of a financial model. In this video, we'll build a cash flow statement given an income statement and balance sheet in Excel.
To download the Excel template that goes with this video, go to www.wallstreetprep.com/blog/fi...
The accounting here is a simplified presentation of how the three major financial statements are inter-related and lays the foundation of financial statement models in investment banking.
Many accounting questions that we see time and again in finance interviews are designed to test the understanding explained in this exercise.

[@niharajgaonkar1211]

Wonderful explanation! Thank you..

[@AdityaKumar-rj2uf]

Well, i like to start with the financing activity, because that's the first in order technically. Raise money (financing), invest money (investing), and create money (operating)

[@TheHammond101]

Hey great vid - at 8mins how do you change the figure to be negative?

[@FinallyLearn]

It is the 74.8 minus 82.4 which equals a negative 7.6. This represents the increase in accounts receivable so a negative effect on cash flow.

[@Tharunkumaryadav19]

Bro pls recommend Excel Courses for financial modueling

[@hereinvc]

Great video - but this shows how wonky of an exercise accounting can be