Identity can be traced back to the balance sheet

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Cash Flow From Assets (CFFA) = Cash Flow to Creditors (CF/CR) + Cash Flow to Stockholders (CF/SH)

The above identity can be traced back to the balance Sheet (why A = L + OE), The Income statement (having used the assets) and the Stockholders Equity statement (Beginning Equity + Net Income/Loss - Cash Dividend = Ending Equity)

Question: explain the above identity as presented in a Balance Sheet, Income Statement and, Equity Statement

Reference no: EM132774712

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