Elective - Financial Management

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Case Study Project                  Total Marks: 100



Elective - Financial Management

Prepare a Funds Statement showing the increase or decrease in working capital of an ancillary unit near your place of residence.


FUND FLOW STATEMENT

Introduction:


The purpose of measuring trading performance, operational efficiency, profitability and financial position of a concern revealed by Trading, Profit and Loss Account and Balance Sheet. These financial statements are prepared to find out the Gross Profit or Gross Loss, Net Profit or Net Loss and financial soundness of a firm ~ a whole for a particular period of time. From the management point of view, the usefulness of information provided by these income statements functions effectively and efficiently. In the true sense they do not disclose the nature of all transactions. Management, Creditors and Investors etc. want to determine or evaluate the sources and application of funds employed by the firm for the future course of action. Based on these backgrounds, it is essential to analyse the movement of assets, liabilities, funds from operations and capital between the components of two year financial statements. The analysis of financial statements helps to the management by providing additional information in a meaningful manner.


Meaning of Fund


The term "Fund" refers to Cash, to Cash

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