Will 'acquisition of machinery by issue of equity shares' be considered while preparing 'Cash Flow Statement? Give reason in support of your answer.
No, acquisition of machinery by issue of equity shares is not considered while preparing cash flow statement. This is because, in the above case, no flow of cash is involved, leaving the Cash Flow Statement unaffected.
State the objective of preparing 'Cash Flow Statement'.
Prepare a Cash Flow Statement on the basis of the information given in the Balance Sheets of Liva Ltd. as at 31-3-2013 and 31-3-2012:
Notes to Accounts:
Note 1
|
Particulars |
2013 |
2012 |
|
Reserves and Surplus |
1,32,000 |
24,000 |
Under which type of activity will you classify Dividend received by a financial company while preparing Cash Flow Statement?
What is meant by Cash from Operating Activities?
State the purpose of preparing a Cash Flow Statement.
While preparing Cash Flow Statements what type of activity is, Payments of Cash to acquire Debentures by an investment company?
Give the meaning of 'Cash Flow'.
State with reason whether deposit of cash into Bank will result into inflow, outflow or no flow of cash.
‘An enterprise may hold securities and loans for dealing or trading purposes in which case they are similar to inventory acquired specifically for resale.” Is the statement correct? Cash flows from such activities will be classified under which type of activity which preparing Cash Flow Statements?
Give the meaning of ‘Cash Equivalents’ for the purpose of preparing Cash Flow Statement.
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