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Treatment of loan to employee in cash flow

AS 2268 views 2 replies
can anyone tell me the treatment of loan to employee in cash flow statement whether its operating,financing,investing?
Replies (2)
Originally posted by : sunita rana
can anyone tell me the treatment of loan to employee in cash flow statement whether its operating,financing,investing?

Operating if your company's business is of giving loan.

Investing if your company's business is not of giving loan.

 

I think you are talking about salary advances to employees. If so, you need to consider these under change in working capital while calculating cash from operations.


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