Profit & Loss (Cash) report and Net Cash Flow from Operating Activities

Question

Hi there,&nbsp;I'm not sure if my understanding of the P&amp;L (Cash) report is correct or not, but I expected that the Net Profit (Loss) from this report would reconcile with the Net Cash Flow from Operating Activities figure from the Statement of Cash Flow Report.&nbsp; Would you agree?&nbsp;&nbsp;Just a bit of back ground, the business is reviewing actual cash flow against budget on a weekly basis - extracting income and expenses from the P&amp;L, then tying it into actual bank movements via the SOCF.&nbsp;Currently there's usually a small difference between the two figures in the reports.&nbsp; The setup for the SOCF seems correct.&nbsp; Is there anything else that could be throwing it out?&nbsp;&nbsp;&nbsp;Thanks in advance for any input!&nbsp;&nbsp;

samaram · Answer

Hi&nbsp;CCCaccounts&nbsp;
Thank you for your post. The&nbsp;Statement of Cash Flow report and the Profit &amp; Loss Cash report will not necessarily show the same information.&nbsp;
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The Statement of Cash Flow Report&nbsp;shows how your cash position has changed over a period of time, the amount of cash earned&nbsp;from profit, where you received additional cash, and where your cash was spent.
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Whereas the Profit &amp; Loss Cash Report shows the total of your income, cost of sales, expenses, other income, and other expenses for the selected period.
For more detailed explanation on the&nbsp;Statement of Cash Flow Report refer to our help article:&nbsp;Statement of Cash Flow Report.
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If you have any further questions please let me know.
&nbsp;
If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

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Profit & Loss (Cash) report and Net Cash Flow from Operating Activities

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