Fund flow statement ppt
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The document discusses the fundamentals of a funds flow statement, including its meaning, objectives, importance, limitations, and preparation. A funds flow statement indicates changes in financial position between two balance sheet dates, showing sources and uses of funds. It aims to analyze changes in working capital and determine causes. While useful for management, shareholders, and financiers, it also has limitations like being historic and ignoring non-fund transactions. Preparing one requires the current and prior year's balance sheets and income statement.
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Fund flow statement
The document provides information on fund flow statements, including their meaning, definition, purpose, and preparation. It defines a fund flow statement as a report on the movement of funds or working capital during an accounting period. It explains how working capital is raised and used. The summary then outlines some key points on the meaning of funds, items that constitute sources and uses of funds, and the objectives and limitations of fund flow statements.
Funds flow statement
The document discusses funds flow statements and their preparation. It provides definitions of key terms like working capital and flow of funds. It explains that a funds flow statement depicts changes in working capital between two balance sheet dates by analyzing changes in current assets and current liabilities. The summary also shows how to prepare schedules of changes in working capital and sources and uses of funds statements to analyze the flow of funds.
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Fund flow statement
This document presents a fund flow statement example for ABC Ltd. between 2006 and 2007.
Key points:
- A fund flow statement shows changes in funds between two balance sheet dates by listing sources and applications of funds.
- For ABC Ltd., sources of funds included taking a mortgage, redeeming bonds, and funds from operations. Applications included purchasing fixed assets and increasing working capital.
- A statement of changes in working capital and adjusted profit and loss account were also prepared to determine the increase in working capital and funds from operations.
- The completed fund flow statement for ABC Ltd. balanced sources of funds totalling Rs. 75,000 with applications of funds.
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Fund flow statement
The document provides information on fund flow statements, including their meaning, definition, purpose, and preparation. It defines a fund flow statement as a report on the movement of funds or working capital during an accounting period. It explains how working capital is raised and used. The summary then outlines some key points on the meaning of funds, items that constitute sources and uses of funds, and the objectives and limitations of fund flow statements.
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The document discusses funds flow statements and their preparation. It provides definitions of key terms like working capital and flow of funds. It explains that a funds flow statement depicts changes in working capital between two balance sheet dates by analyzing changes in current assets and current liabilities. The summary also shows how to prepare schedules of changes in working capital and sources and uses of funds statements to analyze the flow of funds.
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This document presents a fund flow statement example for ABC Ltd. between 2006 and 2007.
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Discuss the statement of cash flows
Values
Limitations
This relates to Intermediate Accounting 2, Statement of Cash Flows Revisited, Chapter 21, Intermediate Accounting 7th Edition, Spiceland, Sepe, Nelson.
Comment
Solution
2. Cash flow statement helps management in proper cash planning and maintaining matching between cash inflows and outflows.
.
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This document provides an introduction to modern banking and Punjab National Bank (PNB) in India. It defines what a bank is, describes the different types of banks (public sector banks and private sector banks), and discusses the history and role of banking in India. The document specifically focuses on PNB, providing context about its establishment and services. It conducted a study interviewing 100 PNB customers in Patna to evaluate their satisfaction with the bank's services and identify any issues. The results of the study and analysis of customer feedback are also summarized.
Public distribution system
What do you understand by Public Distribution
System? Examine the performance of targeted public
distribution system in India. How far it has helped the deprived
section of our economy
effect of war
WAR SEEMS TO BENEFIT EVERYONE (EXCEPT THE ONES WHO DIE FIGHTING IN IT) –
PATRIOTS, POLITICIANS, ARMS INDUSTRY, PROFITEERS. CAN THERE BE AN ECONOMIC
JUSTIFICATION OF A WAR? CAN, AND SHOULD, ECONOMIC DECISIONS BE MADE IN
MORAL VACUUM?
World trade organization
The document discusses the World Trade Organization (WTO). It was established in 1995 to replace the General Agreement on Tariffs and Trade (GATT) and aims to liberalize and regulate international trade. The WTO deals with trade issues across many industries and areas of commerce. It operates based on principles like non-discrimination, transparency, and free trade. The WTO works to reduce trade barriers, assist developing countries, settle disputes between members, and ensure coherence in global economic policies.
Financial management
This document provides an overview of financial management. It defines financial management as planning, organizing, directing, and controlling the financial activities of an enterprise to acquire and manage assets with the overall goal of profit or wealth maximization. The document outlines the basic, social, and operational objectives of financial management. It also discusses the importance of financial planning, fund acquisition, proper fund use, financial decision making, and promoting savings. Finally, it notes some limitations of financial management like an emphasis on raising funds and a dependence on historical costs.
Excel solver
The document discusses the benefits of exercise for mental health. Regular physical activity can help reduce anxiety and depression and improve mood and cognitive functioning. Exercise causes chemical changes in the brain that may help boost feelings of calmness, happiness and focus.
Technological environment ppt
This document discusses the technological environment and its impact on business. It defines technology as the systematic application of knowledge to practical tasks. It notes that the technological environment changes rapidly and affects how resources are converted to output. Adopting new technologies can increase productivity, save time, improve quality and communication, and make marketing and management easier. However, technology transfer between businesses and nations can be costly, issues of appropriateness and dependence can arise, and technologies may become obsolete. Appropriate technology refers to small-scale, locally managed technologies that meet basic needs. The conclusion states that while technology presents risks and opportunities, businesses can leverage changes to improve and create new products and processes.
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Fund flow statement ppt
- 2. Contents i. Meaning ii. Objectives iii. Importance iv. Limitations v. Preparation of fund flow statement vi. Format vii.Conclusion viii.Refrence
- 3. Meaningoffundsflowofstatement A Funds Flow Statement is prepared in summary form to indicate changes occurring in items of financial conditions between two different Balance Sheet dates.
- 4. Objectives i. To find out the position of working capital on two dates of balance sheets. ii. To know the changes in working capital during this period. iii. To know the causes of changes in working capital . iv. To know the inflow of funds according to their sources. v. To know the item-wise outflow of funds during this period.
- 5. Importance Importance of management Importance for shareholders Importance for Financiers Importance to other parties
- 6. LimitationsofFundsFlowStatement i. Not a Substitute of Annual Accounts ii. Historic in nature iii. Less Importance to Changes in Cash iv. Not an Original Financial Statement v. Ignores Non-fund Transactions
- 7. PreparationofFundsFlowStatement i. Balance Sheet at the beginning of the year (or last year’s Balance Sheet). ii. Balance Sheet at the end of the year (or Current year’s Balance Sheet). iii. Income statement or Profit & loss A/c of the current year. iv. Any other formation which affects the flow of funds.
- 8. Format
- 11. conclusion Fund flow statement is very important for every organization .It can really determine how the business should be carried on in the future. As we know the aim of fund flow statement is to know the working capital of the company whether it increases or decreases during a given period of time. So it is a main tool to make a organization to survive in the future.
- 12. Refrence Management accounting by Dr K L Gupta
- 13. Thankyou