Question

Explain sources and application of cash​

Answer 1

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Plant and Machines, Land and Building, Furniture and Fittings, etc.) is the outflow or application or uses of cash, whereas disposing-off the fixed asset is a source or inflow of cash. In short, acquisitions of fixed/long-life assets and disposal of the same are treated as outflows and inflows of cash.

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Answer 2

Hallo.



Plant and Machines, Land and Building, Furniture and Fittings, etc.) is the outflow or application or uses of cash, whereas disposing-off the fixed asset is a source or inflow of cash.


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