Accountancy Part BCash Flow Statement

Under which section of the Companies Act, 2013 is the cash flow state…

Under which section of the Companies Act, 2013 is the cash flow statement included in the definition of financial statement?

Answer & explanation

Correct answer: option 2

The correct answer is Option (2) → Section 2(40)

NCERT (2026-27 edition):
Cash Flow Statement – “… Financial Statements are defined in Companies Act, 2013 (Section 2 (40)] and includes Cash Flow Statement prepared in accordance with Accounting Standard- 3 (AS-3)- Cash Flow Statement.”