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In this section we have tried to develop the concept of flow of funds inside the organization. Starting along with the funds requirement for an organization, we have tried to trace the sources and utilizations of funds.
We tried to examine the significant sources of funds that are: the operations, long-term borrowings, sale of fixed assets and issue of new capital. Likewise, significant uses of funds were traced to acquisition of fixed assets, payment of dividends, repayment of capital and loans. The whole exercise reveals the areas wherein funds are deployed and the source from that they are acquired. At last, we learned how to go about doing the funds flow analysis along with the assist of published accounting information.
We learnt individuality between fund and cash as also cash flow statement and funds flow statement. The significance of cash and cash flow statement was dwelt upon. Our discussion centered on cash flow statement "profit basis" and on "cash basis". We learnt how to go regarding doing the cash flow analysis with the assist of accounting information and at last presenting the cash flows in the form of a "cash flow statement".
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need help with master budget
Ask The James Company, a wholesaler, budgeted the following sales for the indicated months June 2004 July 2004 August 2004 Sales on account 1800,000 1,92
By the discussions we had previous, it is not tough to come to the conclusion that numerous factors influence the fund or net working capital needs. Fund needs vary along with t
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Standard Cost It is especially serious that you establish a link between standard budgets and costs. At this point, you require putting in your mind to standard costs one the
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