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-   -   Cash flow and fund flow (https://www.askmehelpdesk.com/showthread.php?t=207651)

  • Apr 20, 2008, 12:25 AM
    anil john
    Cash flow and fund flow
    Easy methods to do problems persisting to cash flow and fund flow.
  • May 2, 2008, 03:13 AM
    oopsyaar
    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 activities of the
    Company.
    :rolleyes:
  • May 2, 2008, 03:17 AM
    oopsyaar
    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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