what is cash flow and funds flow? Difference between cash
and funds flow? methods of cash flow
Answer Posted / vijay gawalkar
Cash flow is nothing but flow of cash during a particular
period of time. It is a strong Analysis tools used by Large
and medium scale companies to make Analysis of Inflow and
Outflow of money during a particular period of time. Now a
days even small scale industries are using this tools.
Fund Flow shows the flow of money from different Activities.
This helps the management to make analysis of the FLow of
funds from activities such as Operating Activites,
Investment Activities, Financing Activities etc.,.
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hdn Systems Pvt. Ltd., manufactures a consumer durable which passes through two processes M and N. From the following details prepare necessary process ledger accounts bringing out clearly the cost of the product at each stage. Process ‘M’ Process ‘N’ Materials (Rs.) 30,000 3,000 Labour (Rs.) 10,000 12,000 Overheads (Rs.) 7,000 8,600 Input (units) 20,000 17,500 Normal loss 10% 4% Scrap value of loss (per unit) Re. 1.00 Rs. 2.00 There is no opening or closing W-I-P or stock at processes. Final output from the process ‘N’ was 17,000 units
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