The Cash Flows Statement in the context of construction provides a detailed breakdown of how cash is being generated and used within a construction project. This financial statement is crucial for construction companies as it helps in assessing the liquidity and solvency of the business. It shows the inflow and outflow of cash from operating activities, investing activities, and financing activities. Operating activities include cash received from customers, payments to suppliers and employees, and other day-to-day expenses. Investing activities include cash spent on purchasing equipment, machinery, and land for construction projects. Financing activities show cash received from loans, investments, and equity, as well as cash used for debt repayment and dividend payments.The Cash Flows Statement also helps in evaluating the financial health of a construction company