What Is A Fund Statement? Its Purposes And Source Of Funds And Application Of Funds.

Older type of financial statement summarizing transactions that increase the working capital, such as net income, sale of securities, depreciation, and deference of taxes, or used up cash, such as purchase of machinery and equipment, payment of dividends, repayment of debts, payment of taxes. Also called sources and applications of funds statement, statement of changes in financial condition, statement of changes in financial position, or just funds statement.

Until I came here, I'd never heard of a funds statements. We get the question here a lot about the difference between a cash flow statement and a funds statement, so obviously not the same thing. I tried researching it, and from what I could find, it almost sounded more like something a non-profit would use -- i.e. separating out where different types of funds had come from or gone. (Since a non-profit would have to, for instance, use a grant for a specific thing.)

Since I see the question here all the time, I don't understand how it could be an "older type" of statement.

Finally a few weeks ago someone came on and sort of answered the question about the difference between the funds statement and the cash flow statement. I asked if he could explain in more detail for me, but never saw him again.

If you have the time and inclination, could you explain this better to me? You can PM if you like. Keep in mind, I already do accounting, and I already know how to do a cash flow statement. And this isn't a class. I'm just looking for some more detailed explanation so that I can truly understand what the heck this thing is and when or why it would be used. Or just a good reference site that explains it better than what I already found.

(Actually, if it truly seems to be something outdated and there's just one school out there trying to hang on to it for dear life, then I think I wouldn't care. I'll leave that judgment up to you. Come to think of it, if it really is related to non-profits, I have a friend who works in that area who would be happy to explain it.)