CASH FLOW STATEMENT

CASH FLOW STATEMENT
                                                 In finicial accounting cash flow statement also known as statement of cash flow or fund flow statement.This statement shows how much cash come in business or out flow from the business.

                                         METHODS
                                 there are two mathods of recording cash flow

1. DIRECT METHOD
2.IN DIRECT METHOD

We commonly use indirect method the explanation of this is given below

                                           INDIRECT METHOD
In indirect method there are three activities that are given below

1. Operating activity
2.Investing activity
3.Financing activity

                                              Operating activity
Following are including in the operatin activity

.Accout reciveable
.Account payable
.Inventory
.Prepaid expense
.Outstanding expense

                                         Investing activity
Following are including in investing activing
Maketable securities
.Purchase of asset

                                        Financing activity
Following are included in financing activity

.Owner invest in business
.Shares issu
.Loan recived


.
.Unearned revenue