+3 votes
in Class 12 by kratos

What are the objectives of preparing cash flow statement?

1 Answer

+5 votes
by kratos
 
Best answer

The important objectives for preparing Cash Flow Statement are as follows:

  1. The most important objective is to fulfill by preparing Cash Flow Statement is to ascertain the ***** inflows and outflows of cash and cash equivalents from various activities.

  2. Secondly, Cash Flow Statement helps in analysing various reasons responsible for change in the cash balances during an accounting year.

...