The difference between cash flow statement and cash budget is/are __________________.
Cash flow statement shows the movement of cash whereas cash budget portrays no cash movement.
Cash flow statement is a part of cash budget
Cash budget shows the cash movement of the future period in contrast to cash flow statement where it displays the cash movement of the past period.
All of the above
Both (B) and (C) above
A
All of the above
B
Both (B) and (C) above
C
Cash flow statement shows the movement of cash whereas cash budget portrays no cash movement.
D
Cash flow statement is a part of cash budget
E
Cash budget shows the cash movement of the future period in contrast to cash flow statement where it displays the cash movement of the past period.
Open in App
Solution
Verified by Toppr
Cash flow statements analyzes cash transactions which have already occured whereas cash budget shows the cash movement of the future period.
Was this answer helpful?
1
Similar Questions
Q1
The difference between cash flow statement and cash budget is/are __________________.
View Solution
Q2
Which of the following statement are false? a. Old furniture written off doesn't affect cash flow. b. Cash flow statement is a substitute for cash account. c. Appropriation of retained earnings is not shown in cash flow statement. d. Net cash flow during a period can never be negative.
View Solution
Q3
Which of the following statement is true? a. Cash flow reveals only the inflow of cash. b. Cash flow reveals only the outflow of cash. c. Cash flow is a substitute for income statement. d. Cash flow statement is not a replacement of funds flow statement.
View Solution
Q4
Which of the following statement is false? a. Cash flow statement is helpful in the formation of policies. b. Cash flow statement is useful for external analysis. c. Cash flow statement is helpful in estimating future cash flow.
View Solution
Q5
Purchase of furniture is a cash outflow from activity in a cash flow statement.