Question

why cash flow statement is prepared????


MR apka liya points_________​

Answer 1

The cash flow report is important because it informs the reader of the business cash position. ... It needs cash to pay its expenses, to pay bank loans, to pay taxes and to purchase new assets. A cash flow report determines whether a business has enough cash to do exactly this.

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Answer 2

Answer:

The cash flow report is important because it informs the reader of the business cash position. ... It needs cash to pay its expenses, to pay bank loans, to pay taxes and to purchase new assets. A cash flow report determines whether a business has enough cash to do exactly this.

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