Cash Flow Statement for Aayush Foods and Herbs Limited

Running Head: CASH FLOW STATEMENT 1
CASH FLOW STATEMENT

Running Head: CASH FLOW STATEMENT
Table of Contents
Overview....................................................................................................................................3
Cash flow statement...................................................................................................................3
Elements of the cash inflow/outflow......................................................................................3
Source of profits.........................................................................................................................4
Sources of funds.........................................................................................................................4

Running Head: CASH FLOW STATEMENT
Overview
Aayush Foods and Herbs Limited is one of the leading distributors in the range of the
pulses and rice in India which is currently and majorly focusing on the escort of the products
in the different types of the nation’s particularly in Canada. The company came into existence
in the year 1984 in Chirag, New Delhi, the company has achieved the turnover of Rs 19000
lacs in the year 2018 (Aayush, 2018). Currently the company is thinking to distribute the rice.
Cash flow statement
The cash flow statement is the statement which is prepared to record the inflow and the
outflow of the cash. The cash flow statement acts as a blue print of the organization.
Elements of the cash inflow/outflow
The changes in the working capital have been recorded with reference to the previous year.
The company earned net cash from operating activities Rs 61952790. This has been positive
and it indicates that the company is doing the business in the right direction. The cash inflow
is majorly from the profit and the money received from the accounts receivables, whereas the
cash out flow if from the payment made to the accounts payable, short term loans and
advances, or selling of the inventories (Dummies, 2018).
Further the cash flow from the investing activities records any kind of the investments or any
kind of the sales made with respect to the assets and the fixed assets. In the present scenario
the equipment to process and package the rice as well as the herbs is purchased worth
Rs7335162. This indicates that the business is going to be operated with the help of the
machinery. The cash outflow is from the purchase of the equipment (Aayush,2018).
Finally in the section of the financing activities the loan acquired as the capital has been paid
back worth Rs8909498. This reflects that the liquidity position of the company is sound.
Despite making the payments the overall net cash available for the year is Rs45909298. The