Fund flow statement practical problems and solutions

Question 1 Prepare fundĀ  flow statement from the following: 1. Increase in working capital: $4,000 2. Net profit $10,750 before written off goodwill 3. Depreciation on fixed assets: $1,750 4. Dividend paid: $3,500 5. Goodwill written off $5,000 out of profits 6. $5,000 share capital was issued for cash 7. Machinery purchased for $10,000 Solution …

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Difference between fund flow statement and balance sheet and income statement

Difference between Fund Flow Statement and Balance Sheet The main differences between fund flow statement and balance sheet are as under. Basis of difference Fund Flow Statement Balance Sheet Nature Fund flow statement is designed to show changes in financial position of an organization. Thus it is dynamic in nature. Balance sheet is to highlight …

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