Statement of Cash Flows Report

Hello there, @rwertman. 

I understand the importance of addressing the concern of loans appearing in the Operating section instead of the Financing section of cash flow. Let me explain some important details about how you can fix this. 

Firstly, the cash flow mapping will depend on your chosen account type. The Statement of Cash flow will assume that all the activity through your current assets and liabilities are related to operating activities. It also includes the accumulated depreciation from the fixed assets type.

On the other hand, any entries affecting the fixed assets are considered Investing activities. This deals with the disposal of any long-term assets since these directly affect the cash flow.

Financing activities in a cash flow statement represent transactions that generate funding for the business. These entries impact the long-term liabilities and equity.

Since you want to view the loan or advance in the Financing section, you need to set it up as Long-term liability instead of Other Current Liabilities. To do so, here's how: 

1. Click the Gear icon and select Chart of Accounts. 
2. Select New to create a new account.
3. From the Account Type dropdown, choose the Long Term Liabilities, and if you plan to pay off the loan by the end of the current fiscal year, select Other Current Liabilities.  
4. From the Detail Type dropdown, select Notes Payable.
5. Enter the account with a relevant name.
6. Choose when you want to start tracking your finances. In the Balance field, enter the amount in the account and determine the as-of-date. Enter today's date if you're going to start tracking immediately.
7. Hit Save and Close. 

Also, you can visit this article for guidance on tracking your cash flow: Track your cash flow in QuickBooks Online.

Don't hesitate to hit the reply button if you have further questions about the statement of cash flow report. The Community space is always here to assist you.