The funds flow statement is a report on the movement of funds or working capital. It is a summary of a firm’s inflow and outflow of funds. It tells us from where funds have come and where funds have gone. Cash flow statement or statement of cash flows is a financial statement that shows how …
Funds flow statement, also referred to as the statement of changes in financial position or the statement of sources and uses of funds, gives a clear picture of the movement of funds in a certain period. A simple funds flow statement can be arrived at by comparing the balance sheets at the stating of the …
A fund flow statement is a summary of a firm’s inflow and outflow of funds. In other words, fund flow is a statement which analyzes the inflow and outflow of funds of an organization or firm in a particular period. Limitations Of Fund Flow Statement The fund flow statement suffers from the following limitations: 1. …
The fund flow statement reports the flow of funds through the firm during the year. In order to prepare fund flow statement proper understanding of working capital and sources and applications is necessary. The fund flow statement is a record, a post-mortem of where the funds came from and how these were utilized during the …