Concept of flow of funds, Accounting Basics

Concept of Flow of Funds:  It refers to the 'Change in Funds' or 'Change in Working Capital'.  That is, any increase or decrease in Working Capital. In business, daily, numerous transactions get place.  a few of these transactions increase the Funds while others might be decrease the Funds and a few may not make any transform in the Funds position. If a deal results in increase of Funds, it will be defined as a 'Source of Funds'.  In case a transaction results in decrease of Funds, it will be taken as an application or use of Funds.  In case a transaction does not make any change in the funds position that existed just before the occurrence of the transaction, it is supposed that it is a non-Fund transaction.

Posted Date: 10/15/2012 6:18:50 AM | Location : United States







Related Discussions:- Concept of flow of funds, Assignment Help, Ask Question on Concept of flow of funds, Get Answer, Expert's Help, Concept of flow of funds Discussions

Write discussion on Concept of flow of funds
Your posts are moderated
Related Questions
basic methods for calculating depreciation

A of Surat consigned goods to B of Jaipur to be sold at or above invoice price. B is entitled to get a commission of 8% on sales at invoice price plus 25% of any surplus price real

Consider the following 2008 data for Newark General Hospitals (in millions of dollars Simple Budget_______Flexible Budget_ Actual Budget__ Revenue______$4.7$____4.8_____$4.5____.

What are the golden rule of accounting how to pass journal entry when strating bussines what

The decision has been made: You [Tracy] have opted to start your career by joining an international accounting firm. But you can't help wondering if you have the right skills both

John is considering the best capital structure for his firm. Suppose there are two capital structures for him to choose from. Structure A would have 7,000 shares of stock and $160,

Q. Show types of activities performed by business organizations? The forms of business unit examined in the previous section are classified according to the type of ownership o

A good purchased for $480 sells for $700. If the store's operating expenses are 30% of cost, what is the percentage markup on cost? A. 1.5% B. 10.57% C. 15.83% D. 4

a 50 petty cash fund has cash of 20 and valid receipts for 40. The entry to replenish the fund would include a

"Periodic Review" is the suitable method of controlling stock in hotel bar.