Fund flow statement ppt

41,471 views

Published on

fund flow ppt

4 Comments
12 Likes
Statistics
Notes
No Downloads
Views
Total views
41,471
On SlideShare
0
From Embeds
0
Number of Embeds
8
Actions
Shares
0
Downloads
1,543
Comments
4
Likes
12
Embeds 0
No embeds

No notes for slide
  • B/s funds available = funds employed Funds flow = Changes in funds available = changes in funds employed P&l a/c shows book profit
  • Fund flow statement ppt

    1. 1. FUND FLOW STATEMENT<br />
    2. 2. Scientific methods of preparation of Fund Flow Statement<br />
    3. 3. FORMAT OF SCHEDULE OF CHANGES IN WORKING CAPITAL<br />
    4. 4.
    5. 5.
    6. 6. Funds from operations<br />Direct method<br />Indirect method<br />Direct method<br />Funds from operations = Funds from operating revenue less funds for operating expenses<br />
    7. 7. Indirect Method<br /> Profit & Loss Adjustment Account<br />
    8. 8. Statement of Adjustment<br />Net Profit as per Profit & Loss Account **<br />Add: <br /> Non- Cash and non – operating expenses ** <br />Less :<br />Non-cash and non- operating income **<br />Funds from operations **<br />
    9. 9. Format of Fund Flow Statement<br />
    10. 10. Need for fund flow statement<br /> Shortcomings in Balance Sheet<br />2. Shortcomings in Profit & Loss Account<br />
    11. 11. Importance of Fund Flow Statement<br />Gives information about amount of working capital and changes in the amount of working capital.<br />It analyses Balance sheet to reveal the financing & investing activities.<br />It analyses the Profit & Loss Account to reveal the effect of business activities of the concern on the flow of funds.<br />It is a tool for planning future activities of business.<br />

    ×