Accounts
This query is : Resolved
08 January 2020
Is compulsory to prepare Fund flow statement?.
Who will prepare FFS? Company or Anyother person?
Who will prepare FFS? Company or Anyother person?
23 May 2020
Preparation of Fund Flow Statement is not compulsory. However it can be prepared to analyse the reasons or changes in the Financial position of a company. It shows the inflow & outflow of the funds i.e sources and application of funds for a particular period. In other words fund flow statement is prepared to explain the changes in the Working Capital position of the company.
Fund flow statement gives the clear picture about the movement of funds between the opening and closing dates of the balance Sheet. It is also called the Statement of Sources Of Funds, Movement of funds statement. It is valuable and also helps to determine how the funds are financed.
Fund flow statement gives the clear picture about the movement of funds between the opening and closing dates of the balance Sheet. It is also called the Statement of Sources Of Funds, Movement of funds statement. It is valuable and also helps to determine how the funds are financed.
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