Rearrange the following in correct sequence of Cash Flow Statements
A. Calculation of cash flow from investing Activities
B. Opening Balance of cash and cash Equivalents
C. Calculation of cash flow from operating Activities
D. Calculation of cash flow from financing Activities
E. Closing Balance of Cash and Cash Equivalents
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → C, A, D, B, E
A cash flow statement first works out the three kinds of cash flow and then reconciles their total with the cash balances.
C. Calculation of cash flow from operating Activities — heading (A) of the statement.
A. Calculation of cash flow from investing Activities — heading (B).
D. Calculation of cash flow from financing Activities — heading (C); the three together give the net increase or decrease in cash.
B. Opening Balance of cash and cash Equivalents — added to the net change.
E. Closing Balance of Cash and Cash Equivalents — the result, which must agree with the balance sheet.
NCERT (2026-27 edition):
|
