Page 63 - CFA Lecture Day 8 Slides
P. 63

Session Unit 7:

                                                                                        26. Understanding Cash Flow Statements


     LOS 26.h: Analyze and interpret both reported and common-size cash flow statements, p.118


            OCS –stable relationship between OCF and net income is an indication of quality of earnings

            ICF – use of cash towards capex is good, generating cash flows that exceeds capex is good!


            FCF – Was say debt issued and proceeds used to acquire stock or pay dividends?



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