Cash flow statement is prepared from

Balance Sheet
Profit and Loss A/c
Additional information
All of these

The correct answer is D. All of these.

A cash flow statement is a financial statement that shows how much cash a company has received and spent over a period of time. It is prepared from the balance sheet, the profit and loss account, and additional information.

The balance sheet shows a company’s assets, liabilities, and equity at a specific point in time. The profit and loss account shows a company’s revenues, expenses, and net income for a period of time. Additional information can include notes to the financial statements, which provide more detail about the company’s financial position and performance.

The cash flow statement is prepared by analyzing the changes in the balance sheet and the profit and loss account. The changes in the balance sheet are analyzed to determine how much cash the company has generated from its operations, its investments, and its financing activities. The changes in the profit and loss account are analyzed to determine how much cash the company has generated from its sales and how much cash it has spent on its expenses.

The cash flow statement is an important financial statement because it provides information about a company’s ability to generate cash. This information is useful for investors, creditors, and other users of financial statements.

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