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Accounting

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28 December 2011 please tell me about fund flow
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CA SUMiT PATWARi

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CA SUMiT PATWARi (Expert)
28 December 2011 A fund flow statement describes, how the funds have flown and moved in the organisation.

It shows from what sources the funds have been acquired from/generated from and how such funds have been expended/invested.
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CMA. CS. Sanjay Gupta

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CMA. CS. Sanjay Gupta (Expert)
28 December 2011 Fund flow statement is a statement which shows the inflow and out flow of funds between two dates of balance sheet. So, it is known as the statement of changes in financial position. We all know that balance sheet shows our financial position and inflow and outflow of fund affects it. So, in company level business, it is very necessary to prepare fund flow statement to know what the sources are and what are applications of fund between two dates of balance sheet.
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