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When used with other financial statements and disclosures, the statement of cash flows should help the analyst to: Bank loans and long-term debt also increased sharply in 20X2, no doubt to finance the bulge in net fixed assets. It also includes the option to postpone. Incremental depreciation 2 - 3 55, 27, 0 0 5. It accounts for the time value of money and risk by discounting cash flows at the cost of capital.