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Home > Business & Careers > Finance   »   cash flow and fund flow

 
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Old Apr 19, 2008, 11:25 PM
anil john
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cash flow and fund flow

Easy methods to do problems persisting to cash flow and fund flow.

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Old May 2, 2008, 02:13 AM   #2  
oopsyaar
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Cash Flow Statement : Statement showing changes in inflow &
outflow of cash during the period.

Methods of cash flow:1.Direct Method : presenting
information in:Statement of A. operating Activities, B.
Investment Activities C.Financial Activities
2.Indirect Method :uses net income as base & make
adjustments to that income(cash & non-cash)transactions.

Funds Flow Statement :Statement showing the sorce &
application of funds during the period.
Major Difference:

The CFS allows investors to understand how a company's
operations are running, where its money is coming from, and
how it is being spent.

FFS is showing the fund for the future activites of the
Company.
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Old May 2, 2008, 02:17 AM   #3  
oopsyaar
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cash flow depicts the inflow and out flow of cash between two accounting periods.
Fundflow depicts the inflow and outflow of working capital

fund flow statement r meant 4 long term financial analysis while cash flow r used 4 short term cash planning.
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