Cash flow statement query

AS 2138 views 8 replies

if a company has regrouped his figure into current and non-current asset of the fiancial year ende 2010, so the cash flow statement column of last year should be in accordance with the new regrouped figure or as per last balance sheet figure 

Replies (8)

i think your question is not clear. cash flow statement does not link with balance sheet. we just made cash flow statement for the sake of the working capital. cash flow statement is seperate working. ok fine i think you understood.

Cash flow statement and balance sheet are two entirely different financial statements.

They are not inter-related.

 

Accounting Standards over rides Guidance Note Revised Schedule VI therefore Cash Flow statement will be continued to be prepares as per AS 3. 

 

First thing the reporting if has been made for Fy ending 2010 as per revised schedule VI, then let me clear that 
revised sch VI is mandatory from 1-4-2011 only.


But if I presume that for reporting purpose the company has prepared its Financial statment by grouping into Current assets and non current assets then the company should present its Cash Flow also as per regrouped Balance Sheet only.

balance sheet will be made according to revised schedule VI

and cash flow as per AS-3

Balance sheet & cash flow is two different part. balance

Balance sheet  will be prepared as per revised schedule  VI  & cash flow statement as per AS -3 .
 

Balance sheet and Cash flow are two different financial aspects. Balance sheet shows the financial position of the business and cash flow statement shows movement of cash i.e inflow and outflow of cash.


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