Ace Cash Flow Fund Flow

Fund flow is usually measured on a monthly or quarterly basis.

Cash flow fund flow. A student of Commerce needs to have clarity on these concepts. You are also informed that during the year dividend for the year 2010-2011 and dividend distribution tax together amounting to Rs 575 thousand was paid. Fund flow is the net of all cash inflows and outflows in and out of various financial assets.

Cash Flow and Fund Flow are two completely different statements which are required for running a business and analysing its shortcomings. Fund flow on the other hand registers the activities of money that comes in and out of business. Cash Flow statement vs.

220 Self-Instructional Material Cash and Funds Flow Statements NOTES The Funds Flow Statement1 is widely used by financial analysts credit grant- ing institutions and financial managers in performance of their jobs. Cash Flow statement is useful for a short term financial analysis of cash planning while Fund Flow Statement is helpful to a long-term analysis of financial planning. FUND FLOW STATEMENT Fund flow statement indicates the amount of change in various balance sheet items between two accounting datesIt shows the source and use of funds during an accounting period.

Moreover it has two diverse functions. Meaning of Cash Flow Cash flow refers to the outflow and inflow of cash or cash equivalents in. In the most simple terms cash flow happens when cash moves or flows in and out of a business.

It has become a. Cash flow refers to the overall cash generated by the firm in a specific accounting period and is calculated as the sum total of cash from operations cash flow from financing and cash flow from investing activities whereas the fund flow of the company records movement of the cash in and cash out from the company during the specified period of time. The performance of an asset or fund is not taken into account only share redemptions or outflows and share purchases or inflows.

In financial accounting the statement of cash flows refers to the change in a companys cash and equivalents from one period to the next. Fund flow is typically referred to as the working capital of a business and is analyzed to identify and determine the changes in the working capital for a given period along with its reasons. While both cash flow and fund flow are a part of financial accounting the latter focuses on the net movement of funds both inflows and outflows.