Analyzing Cash Flow in Your Company

As they say, cash is king. The charts on the Accountant Role Center provide insight that can help you make solid decisions about what to do with your cash.

To answer questions like these Use this chart
How long does the sales process tie up my cash?
Should I increase or reduce inventory levels?
Cash Cycle
When did cash move in and out of my company?
Are some periods better than others?
Cash Flow
Do the numbers seem off for a period?
Should I investigate?
Income & Expense
When might a cash surplus or deficit happen?
Should I pay down debt, or borrow to meet upcoming expenses?
Cash Flow Forecasts

Dig into the numbers

On the Accountant Role Center, under Finance Performance, the Cash Cycle, Cash Flow, and Income & Expense charts offer ways to analyze cash flow:

  • See figures for a period by using the timeline slider.
  • Filter the chart by choosing the source in the legend.
  • Change the length of the period, or go to the previous or next period, by choosing options on the Finance Performance drop down.
  • View the entries by choosing a point in the chart. For example, a point on the timeline or a column segment. If the numbers seem off, this is where you can make adjustments.

Although it's separate, the Cash Flow Forecast chart is similar. You view details, filter results, and change what's displayed in the same ways. If you change a setting, you can refresh the forecast by choosing Cash Flow Forecast, and then Recalculate Forecast.

If you want to examine the forecast, in addition to forecast entries, you can also look at the cash flow worksheet. For example, you can see how the forecast:

  • Handles confirmed sales and purchases.
  • Subtracts payables and adds receivables.
  • Skips duplicate sales orders and purchase orders.

To view a cash flow worksheet

  1. Search for Cash Flow Forecasts, and then choose the related link.
  2. Choose a cash flow forecast, and then choose the Cash Flow Worksheet action.
  3. On the Cash Flow Worksheet page, choose the Suggest Worksheet Lines action.

See Also

Setting Up Finance
Working with Financials
Setting Up Cash Flow Analysis