Professional Documents
Culture Documents
Advanced Accounting
On the Topic :
C.R.T-1
Made by:
Nipath Belani
Roll No:
Specialisation:
Finance
MEANING OF FUND
MEANING OF FLOW
1. The term ‘flow’ refers to changes or transfer and
therefore the ‘flow of funds’ means transfer of
economic values from one asset to another, from
one liability to another, from one asset to liabilities
or vice-versa or a combination of these. So flow of
fund refers to increase or decrease in net working
capital.
CURRENT ASSETS
TOTAL(A)
CURRENT
LIABILITIES
TOTAL(B)
WORKING
CAPITAL(A-B)
INCREASE/DECRE TOTAL ------- -------
ASE IN WORKING
CAPITAL