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What are objectives of cash flow statement important?
The importance of objectives of cash flow statement is to help students understand the sources with the help of which a company can avail constant cash flow into their business. These objectives also help the companies to evaluate cash requirement for their business in future.
Various objectives of cash flow statement
There are mainly 8 major objectives of cash flow statement. Amongst those 8, we have provided 4 of them here.
- Production of cash inflow
- Future cash flow evaluation
- Classification of activities
- Measurement of cash
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