Differential Bal Sheet is made up of the YOY changes for each line item on the Balance Sheet, focusing on the items with material change (relative to equity buffer).
I/S Consolidates to B/S as a Line Item – Retained Earnings
Observe that UCA is made up of I/S and Differential Bal Sheet items
So, UCA Cash Flow = Differential Bal Sheet
We know that:
- Income Statement is a line item on the Balance Sheet
- Differential Bal Sheet describes the changes of each line item on Balance Sheet
We have shown that:
- UCA Cash Flow is made up of Differential Bal Sheet & Income Statement
Therefore, UCA Cash Flow = Differential Bal Sheet
