in cash flow , in which acticity we can show contra entries.
Nilesh More (Executive) (72 Points)
24 April 2012in cash flow , in which acticity we can show contra entries.
Peter Sequeira
(*)
(81 Points)
Replied 24 April 2012
Ignore the contra entry as we dont have to total the cash and bank a/c individually in the cash flow stmt. All we take is "Cash and cash equivalents." A contra entry is just the transfer of money from one cash equivalent to another.