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What is the difference between a cash flow statement and an
accural profit & loss account ? And why do simple
organisations do not feel the need for a profit and loss
type of statement ?
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2 Answers Ahmed Amin Group, TATA,
What is Cash Flow Statement?
"A" has two divisions of "B" and "c".In our system we have two vendor accounts of B&C.We have received one Non PO invoice of B and posted wrongly in C and its got paid.While reconciling the account we got this error is happend.We contacted the C and asked for refund.But C said,he transfer internally the amount directly to B and he will not refund the amount.How we will settle this entry in our books. If we reverse the entry...there is one invoice needs to be reverse and payment doc needs to be reverse..how we can settle this in our books...
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