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Does Movement Between Items that Constitute Cash Or Cash Equivalents Result into Cash Flow? Give Reason in Support of Your Answer. - Accountancy

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Does movement between items that constitute cash or cash equivalents result into cash flow? Give reason in support of your answer.

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Solution

Movement between items of cash or cash equivalents are not considered as cash flows because these components are part of the cash management of an enterprise and not part of its operating, investing or financing activities

Concept: Concept of Cash Flow Statement
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