Question

which of the following is not required to be prepared under the companies act
1)balance sheet
2)report of Directors and Auditors
3)Funds flow statement
4)Statement of profit and loss

Answer 1

Answer:

3 fund flow statement

Explanation:

The term Balance Sheet, Profit & Loss Account, has been define collectively as Financial Statement under the Act, cash flow statement and statement showing change in equity (if applicable) of the company also forms part of the same.

Answer 2

Answer:

Fund Flow Statement

Explanation:

Fund flow statement explains the flow of cash or fund from the source and where it is getting utilized. As per the companies act 2013, which regulates the incorporation of a company does not require to have funds flow statements. Though Balance sheet and Profit loss statement which talks about the company profit and revenue is required. In addition, report of Directors and auditors are also mandatory document as per the companies act.