OUTLINE OF SPECIFIC PROJECT – TWO [CASH FLOW STATEMENT]

[Entire project to be handwritten]

[All the contents to be written only in blue gel pen]

1] Divider Page

- Specific Project – Two [Cash Flow Statement]

[Note: Same Company taken for ratio analysis is preferred so that history of
another company need not be written and remembered.]

Objective – To study and interpret the cash flow position of ____[name of the
company], using cash flow statement as a tool of financial analysis.

2] Introduction

- Meaning of certain terms- cash flow statement, cash, cash equivalents, cash flow
- Classification of activities while preparing cash flow statement- meaning of each
activity with examples of inflow and outflow pertaining to that activity

3] Data for analysis

Cash Flow Statement of the company for two years [detailed CFS, not the final six
figures alone]

4] Interpretation/ Analysis

In detail by comparing two years’ figures and information

- Cash flow from operating activities

– Cash flow from investing activities

– Cash flow from financing activities

1
- The analysis should be done in detail for each activity.

5] Graphical Representation

- Line Graph for each activity for two years

– Activity wise for both years can be done in one graph

6] Conclusion/ Suggestions

- Review or summary of each activity in detail

– Overall comment on the cash flow position
– Suggestions for improvement or sustainment of the situation
– Forecast for future could be made
-Since the same company was analysed using accounting ratios, inter-related
observations, suggestions and comments may be included.

*****************************************