The cash flow statement looks at the past while the cash budget is for planning for the future
|
Sl . |
Cash Flow
Statement |
Cash Budget |
|
1 |
It shows
the cash inflow |
All expected cash receipts & estimates |
|
2 |
Preparation done of the past
events |
Preparation done on forthcoming events |
|
3 |
Use as tool of analysis &
determine likely flow of cash |
Surplus cash receipts planned for
profitable investments |
|
4 |
It starts with cash
& cash equivalents & end with cash & cash equivalents |
It starts with cash
on hand &
bank & close with cash on hand & bank |
|
5 |
Basically, it prepared for financial
accounting period |
It may prepared for a month, quarter,
half year or annual |
|
6 |
It prepared for utility of external agencies |
It is prepared as part
of planning for
the utility of internal management |