Question

What is the primary purpose of the Fund Flow Statement?

a.

To show the movement of funds

b.

To list current assets and liabilities

c.

To analyze the profitability of an entity

d.

To summarize sources of cash flow

Posted under IC 89 Management Accounting

Answer: (a).To show the movement of funds Explanation:The Fund Flow Statement primarily focuses on presenting the movement of funds, showing sources and applications.

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Q. What is the primary purpose of the Fund Flow Statement?
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