Abstract

Many specialized and unspecialized in Accountancy have to understand the statements ,especially the cash flows statements. They also have to extract the basic information on the economic unit performance which helps them in making their good investigation and financial decisions . At the same time, the use of the financial ratios in analyzing the cash flows statement help in managing the financial needs to cover the needs of the economic unit. In general, this research tried to achieve basic hypothesis, which is that the making cash flows statement the beside the other statements, and the use of the financial ratios in analyzing this statement provide a high degree of confidence in decisions made by the management and the employees. As for the problem, it is on the flow and deficiency in financial structures for the economic unity.