Cash Flow Statement of an enterprise helps to ascertain _________.

The correct answer is Option (1) → Liquidity

A cash flow statement shows where cash came from and where it went during the year. It tells users whether the enterprise can generate cash and meet its payments, that is, its liquidity.

Option (2) Market value of shares — Incorrect. Share prices are set in the market; no financial statement ascertains them.

Option (3) Profitability — Incorrect. Profit is measured in the Statement of Profit and Loss on accrual basis, not by cash flows.

Option (4) Turnover — Incorrect. Turnover (revenue from operations) is reported in the Statement of Profit and Loss.