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Question : As per AS - 3 cash flow statement is mandatory to -

Option 1: All companies

Option 2: One person company

Option 3: Small company

Option 4: Dormant company


Team Careers360 15th Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: All companies


Solution : All businesses are required to prepare cash flow statements, however the statute also lists several businesses that are excluded from doing so. One Person Companies (OPCs), Small Companies, and Dormant Companies are a few examples.

Hence the correct answer is option 1.

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