[Mohamed Hasim]

What are the differences between Cash flow Statement & Fund Flow Statement?

[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.
:)

[oopsyaar]

1. Cashflow is connected to the cash in hand with income & expenditure irrespective of small and large amount but fundflow is connected to the huge amount.
2. Cashflow could be in your hand or may be in your bank but fundflow can be of any form whether in property/machinery/shares which are transferable in respect of amount.