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Statement of Cash Flows
A formal statement of the cash received and disbursed through an organization. The statement of cash flows is separate into three sections that are investing activities (usually both a source and a use of cash), operating activities (usually a source of cash), and financing activities (usually a source and use of cash). When cash is paid or received for more than one activity it is allocated to that activity which is the prime motivation for the cash flow. For example there are many organizations which consider cash spent on new equipment to be an investment activity rather than an operating activity.
Q. What is Cost Recovery Method? Cost Recovery Method - METHOD OF REVENUE RECOGNITION that identifies profits after costs are entirely recovered. Normally used only when the to
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calculate payback period of each project and according to payback whice project should be accepted
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