Arrange the following in correct sequence of appearance in a cash flow statement(A) Cash and cash equivalents at the end(B) Cash flows from operating activities(C) Cash flows from investing activities(D) Cash flows from financing activitiesChoose the correct answer from the options given below:
- A(A), (B), (C), (D)
- B(A), (C), (B), (D)
- C(B), (A), (D), (C)
- D(B), (C), (D), (A)
Solution & Step-by-step Explanation
As per Accounting Standard-3, a Cash Flow Statement reports flows strictly organized into three sequential sections, followed by the reconciliation of cash balances:First (B): Cash flows from operating activitiesSecond (C): Cash flows from investing activitiesThird (D): Cash flows from financing activitiesFinally (A): Calculation of cash and cash equivalents at the end of the period.Hence, the exact layout order is (B), (C), (D), (A).