Cash Flow Statement (Indirect Method)
Built from TB: PAT + non-cash add-backs ± working-capital changes. Reconciles to opening + closing bank balance.
June 2024
The business generated ₹171,867 of cash this period — bank + petty cash grew by this amount.
Cash Reconciliation
Opening + Net CF = Closing · the identity that proves every ₹ is accounted for
Indirect Cash Flow — build-up from PAT
PAT → add back non-cash items → adjust for working capital → Net Cash from Operating
| Profit After Tax (PAT) | ₹149,417 |
| = Operating profit before WC changes | ₹149,417 |
| ＋(Increase) / Decrease in Trade Receivables | ₹70,800 |
| −Increase / (Decrease) in Trade Payables | −₹5,924 |
| −(Increase) / Decrease in Tax Prepayments (TDS Recv / Advance Tax) | −₹11,500 |
| ＋Increase / (Decrease) in Duties & Taxes (aggregate) | ₹21,900 |
| = Cash generated from operations | ₹224,693 |
| Net Cash from Operating Activities | ₹224,693 |
| Net Cash from Investing Activities | ₹0 |
| Drawings / Capital withdrawn — Prateek Agrawal | −₹2,826 |
| Drawings / Capital withdrawn — Rahul Nathani | −₹50,000 |
| (No PAT adjustment — profit not yet appropriated) | ₹0 |
| Net Cash from Financing Activities | −₹52,826 |
| Net Increase / (Decrease) in Cash | ₹171,867 |
Depreciation & other non-cash items are added back to PAT because they reduced profit on paper but never moved cash. Working-capital changes adjust for accruals — receivables increasing = cash we've billed but not received yet. Click Consultant view for per-ledger WC detail and Direct ↔ Indirect reconciliation.