hiiiii
I have a doubts in relation to cash flow stmt
Fixed Assets purchase Rs 1 Lac payment by the end of year Rs 90000 balance is Rs10000 which is included in creditors. Now when u r preparing cash flow stmt by Indirect Method how should u present it
Alt 1: Purchase of assets (Investing Activity) Rs 1 Lac and when u will adjust working capital items then this 10000 shall also be adjusted and balance will match.
Alt 2 : Purchase of assets Rs 90000 and while adjusting working capital items adjust creditors excluding these 10000
which is moreappropriate????
Plz advice.............
CAclubindia
