What are the uses of fund flow statements?


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Fund flow statements are prepared for internal & external uses.

 

They are designed to assess the funds available, forecast cash requirements & to evaluate the investments & financial decisions of a business entity.

 

There are many parties who are interested in the funds flow      statements. Shareholders, investors, bankers, creditors & the management are among them.

 

Primarily, the funds flow statements is to identify the sources & applications         of   funds.

 


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